Metanor Resources Inc.

Metanor Resources Inc.

September 02, 2011 08:54 ET

Metanor Receives US$6M from Sandstorm

VAL-D'OR, QUEBEC, CANADA--(Marketwire - Sept. 2, 2011) - Metanor Resources Inc. ('Metanor') (TSX VENTURE:MTO) is pleased to announce that Sandstorm Gold Ltd. ('Sandstorm') (TSX VENTURE:SSL) has remitted the US$6 million final payment to Metanor in accordance with the gold purchase agreement announced on January 17, 2011. Under the terms of the agreement, Sandstorm is entitled to purchase 20% of the life of mine gold produced from the Bachelor Lake project ("Bachelor Lake") at a per ounce price equal to the lesser of US$500 and the then prevailing market price of gold.

Development at Bachelor Lake has been advancing as planned, the most recent milestone being the completion of the shaft sinking to 536 feet which included the development of the two shaft stations. Over 90% of the equipment required to complete the 5,000 ton bulk sample is on site and infrastructure is being upgraded for the execution of the bulk sample. Lateral development and underground infrastructure construction is set to begin shortly.

A 15,000 metre definition diamond drilling campaign is well underway at Bachelor Lake and assays are in the laboratory with results pending. Bachelor Lake is open in all directions and at depth with a deep hole intercept at approximately 3,500 feet.

Further, Metanor announces that MI3 Financial Communications Inc. of Montreal, Quebec has been engaged to provide market-making activities for a period of four months effective August 30, 2011. Market-Making Activities will be provided in conformity with TSX-Venture Exchange Policy 3.4 and applicable Securities Laws in Canada. These activities shall exclude market manipulation, market control and improper market-making activities, including those specified in section 2.7 of Policy 3.4.

Subject to the requirements and normal procedures of trading on the TSX Venture Exchange, MI3 will not buy all Metanor securities offered at the posted price, but rather, will buy a portion of the securities at the posted price and allow the price to drop before making further purchases. MI3 will not post a continuous bid and ask for a particular security, regardless of whether or not a buy or sell order is in place, if this could hold the security at a fixed price over an extended period of time rather that allow the market to find its own level. The compensation for the services rendered by MI3 shall be $6,250.00 per month (plus applicable taxes) in cash.

About Metanor

Metanor is a Canadian based gold mining company with a focus on adding value per share through efficient exploration, and development of it properties. Maintaining a low risk profile through a strong operating team, sound financial management, and operating in secure jurisdictions like Quebec are key priorities for Metanor's management team.

Cautionary Language and Forward-Looking Statements

This press release includes certain statements that may be deemed "forward-looking statements". All statements in this discussion, other than statements of historical facts, that address future exploration drilling, exploration activities, anticipated metal production, internal rate of return, estimated ore grades, commencement of production estimates and projected exploration and capital expenditures (including costs and other estimates upon which such projections are based) and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, metal prices, exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Accordingly, readers should not place undue reliance on forward-looking statements.

201,686,865 outstanding shares

Neither the TSX Venture Exchange, nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

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