VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 13, 2011) - Mr. Madani Diallo announces that he has acquired beneficial ownership and control of an additional 15,000,000 common shares (the "Consideration Shares") and 5,000,000 share purchase warrants (the "Consideration Warrants") of Compass Gold Corporation (the "Company"), representing an aggregate of 13.6% of the Company's issued and outstanding common shares on a non-diluted basis or 17.3% of the Company's issued and outstanding common shares on a partially-diluted basis assuming the exercise of the Consideration Warrants.
The Consideration Shares and Consideration Warrants were issued to Mr. Diallo pursuant to the completion of the transaction involving the acquisition by the Company of the remaining 49% equity interest in Africa Mining SARL as disclosed in the Company's news release dated December 13, 2011. Each Consideration Warrant entitles the holder to acquire one common share of the Company at a price of $0.30 per share until December 13, 2015.
After giving effect to the acquisitions referred to above, Mr. Diallo beneficially owns and controls a total of (i) 17,464,086 common shares of the Company and (ii) warrants and stock options exercisable to purchase an aggregate of 6,892,043 common shares of the Company, which collectively represent 15.8% of the Company's issued and outstanding common shares on a non-diluted basis or 20.7% of the Company's issued and outstanding common shares calculated on a partially-diluted basis assuming the exercise of Mr. Diallo's share purchase warrants and stock options.
Mr. Diallo acquired the securities for investment purposes. He intends to evaluate his investment in the Company and to increase or decrease his beneficial shareholdings from time to time as he may determine appropriate for investment purposes.
A copy of the early warning report being filed by Madani Diallo may be obtained by contacting Darren Devine, the Corporate Secretary of the Company at (604) 638-8067.
Madani Diallo
Rue 250, Porte 181,
Magnambougou, Bamako
Mali
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.
Contact Information:
Darren Devine
Corporate Secretary
(604) 638-8067