TORONTO, ONTARIO--(Marketwire - March 21, 2013) - Nighthawk Gold Corp. ("Nighthawk" or the "Company") (TSX VENTURE:NHK) is pleased to announce that $1 million from a standby letter of credit ("Letter of Credit") previously posted in favour of Aboriginal Affairs and Northern Development Canada ("AANDC") has been released to Nighthawk and added back into the Company's treasury.
- Nighthawk's treasury increases to $3.5 million as a result of the cash released from a previously posted Letter of Credit.
"Our recent debt settlement offering and the $1 million Letter of Credit release have greatly strengthened our balance sheet and positioned us to continue advancing our Colomac Gold Project," commented David Wiley, CEO of Nighthawk Gold Corp.
Nighthawk completed the acquisition of a 100% interest in the Colomac Gold Property (the "Colomac Gold Project") from AANDC, consisting of the past producing Colomac Gold Mine, four surrounding gold deposits and several gold showings in January 2012 (see Company news release on January 26, 2012). Under the terms of the acquisition, Nighthawk committed a maximum of $5 million, secured by three Letters of Credit, to reclaim three disturbed historic exploration sites for which AANDC has the obligation to remediate. These three historic exploration sites are located within the Company's Indin Lake land package but are not associated with the Colomac Gold Project. Nighthawk did not assume the environmental/reclamation liabilities of these sites directly and is carrying out reclamation activities on behalf of AANDC.
As the result of the successful reclamation of one of the three historical sites, $1 million from the Letters of Credit posted in favour of AANDC has been released to Nighthawk and added back into treasury.
Nighthawk Gold Corp.
Nighthawk Gold Corp. (TSX VENTURE:NHK) is a Canadian-based exploration company focused on acquiring and developing gold mineral properties in the NWT, Canada. Its land position covers 222,203 acres or 900 square kilometres in the Indin Lake Gold Camp, located approximately 220 kilometres north of Yellowknife, NWT.
For more information about the Company, please visit www.nighthawkgold.com.
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Nighthawk to be materially different from those expressed or implied by such forward-looking information, including risks associated with the exploration, development and mining such as economic factors as they effect exploration, future commodity prices, changes in foreign exchange and interest rates, actual results of current exploration activities, government regulation, political or economic developments, environmental risks, permitting timelines, capital expenditures, operating or technical difficulties in connection with development activities, employee relations, the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of reserves, contests over title to properties, and changes in project parameters as plans continue to be refined as well as those risk factors discussed in Nighthawk's management discussion and analysis for the year ended July 31, 2012, available on www.sedar.com. Although Nighthawk has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Nighthawk does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Neither the 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 news release.