TORONTO, ONTARIO--(Marketwired - Nov. 9, 2016) - Inventus Mining Corp. (TSX VENTURE:IVS) ("Inventus" or the "Company") is pleased to announce that it has entered into a binding arm's length letter agreement to acquire from Endurance Gold Corp. ("Endurance") their 35.5% interest in the Pardo Joint Venture in exchange for the issuance of 25,500,000 common shares of the Company and a cash payment of $75,000. As a result of this transaction, if completed, Inventus will own 100% of the assets comprising the Pardo Joint Venture. The property is subject to a pre-existing 3% net smelter return royalty, of which 1.5% can be purchased for $1.5 million at any time.
"Consolidating the Pardo property is a highly strategic transaction for Inventus, it will allow us to act quickly to explore and potentially delineate the gold mineralization at the property. I believe, as do our major shareholders, that Pardo is an excellent exploration target with substantial merit," said Stefan Spears, Chairman and CEO.
The Pardo Joint Venture property has a surface area of approximately 33 square km, the surrounding property (already 100% owned by Inventus) is approximately 137 square km, for a total project area of 170 square km covering the target paleoplacer geology.
The purchase is subject to regulatory approval, definitive documentation and closing. The transaction is expected to close on or before November 30, 2016. The current arbitration process between Endurance and Inventus has been suspended without prejudice and will terminate on closing of the transaction.
Endurance does not currently own any securities of the Company. Immediately following the transaction, Endurance will own 25,500,000 common shares of the Company representing 25.4% of the issued and outstanding common shares, which is a "Control Person" as that term is defined in the policies of the TSX Venture Exchange. The creation of a new Control Person requires approval by the "disinterested vote" of the shareholders which will be sought by way of written consents of shareholders holding in excess of 50% of the issued and outstanding common shares of the Company. The common shares will be acquired by Endurance for investment purposes, and depending on market and other conditions, it may from time to time in the future increase or decrease its ownership, control or direction over securities of the Company through market transactions, private agreements, or otherwise.
About Inventus Mining Corp.
Inventus is a mineral exploration company focused on the world class mining district of Sudbury, Ontario. Our principal asset is the Pardo Paleoplacer Gold Project located 65 km northeast of Sudbury. Pardo is the first important paleoplacer gold discovery found in North America. Inventus' significant share owners include renown gold investors Rob McEwen, Eric Sprott, and Osisko Gold Royalties, as well as the former Chairman and CEO Wayne Whymark. Visit http://www.inventusmining.com for more information.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, regulation services provider, securities commission or other regulatory authority has approved or disapproved the information contained in this news release.
This News Release includes certain "forward-looking statements" which are not comprised of historical facts. Forward-looking statements include estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "if", "yet", "potential", "undetermined", "objective", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to the Company, the Company provides no assurance that actual results will meet management's expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans, statements, exploration results, potential mineralization, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions.
Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to and inability to complete the purchase of the interest of Endurance Gold Corp. in the Pardo Joint Venture on the terms as announced or at all, failure to identify mineral resources, failure to convert estimated mineral resources to reserves, the inability to complete a feasibility study which recommends a production decision, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, inability to fulfill the duty to accommodate First Nations and other indigenous peoples, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and operating costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, and those risks set out in the Company's public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.