April 06, 2011 18:24 ET

Nordex Explosives Announces Settlement of Litigation Matter

KIRKLAND LAKE, ONTARIO--(Marketwire - April 6, 2011) -


NORDEX EXPLOSIVES LTD. (TSX VENTURE:NXX) ("Nordex") is pleased to announce the settlement of outstanding litigation involving the company, an officer and director, certain former officers and directors as well as a former service provider.

As set out in its press release of July 18, 2008, Jacques Lévesque, the current President and a director of Nordex, instituted proceedings in the Superior Court of Quebec Court bearing file number 500-11-033373-081 in his personal capacity against a current officer and certain former officers and directors of Nordex, as well as a former service provider (the "Defendants"). The Defendants had also instituted counter-claims against Mr. Levesque (collectively, all such proceedings and counter-claims referred to herein as the "Proceedings"). Nordex was "mise-en-cause" to these Proceedings and determined it had an obligation to indemnify the defendants to the Proceeding. All parties to these proceedings have agreed to settle the Proceedings out of court and to release each other from any claims arising out of the facts giving rise to the Proceedings. In connection with the settlement and agreeing to procure such releases, Nordex has agreed to pay to Mr. Levesque the sum of $192,000, to be paid in equal instalments over a 24 month period.

Jim O'Reilly, the Chairman of the Board of Directors of Nordex, stated "Nordex is pleased that it can move forward with its business plans without the uncertainty of making costly indemnification payments in regards to these actions". Nordex expects the litigants to shortly file all necessary documents to formally terminate the Proceedings.


LES EXPLOSIFS NORDEX LTEE./NORDEX EXPLOSIVES LTD. is a manufacturer and distributor of explosives for the mining, quarry and road construction industries since 1970. Its manufacturing operations and distribution centre is strategically located in one of the world's largest mining regions near Kirkland Lake, Ontario. Nordex trades on the TSX Venture Exchange under the symbol "NXX".

FORWARD LOOKING STATEMENTS: (not for U.S. distribution)

Certain information included herein may contain "forward‐looking statements" which reflect the current expectations of management of the Corporation regarding the Corporation's future growth, results of operations, performance, business prospects and opportunities. Wherever possible, words such as "may", "would", "could", "should", "will", "anticipate", "believe", "plan", "expect", "intend", "estimate", "aim", "endeavour", "seek", "predict", "potential" and similar expressions have been used to identify these forward‐looking statements. These statements reflect management's current beliefs with respect to future events and are based on information currently available to management of the Corporation. Forward‐looking statements involve significant risks, uncertainties and assumptions. Many factors could cause the Corporation's actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward looking statements, including, without limitation, cancellations of or the failure to renew purchase orders; production and delivery issues; quality, pricing and availability of raw materials; compliance with environmental regulations; exchange rate fluctuations as well as the other risks identified in the "Risk Factors" contained in the Corporation's Management Discussion and Analysis and other public filings (copies of which may be obtained at Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward‐looking statements prove incorrect, actual results, performance or achievements may vary materially from those expressed or implied by this press release. These factors should be considered carefully and the reader should not place undue reliance on the forward‐looking statements. Although any forward‐looking statements contained in this press release are based upon what management currently believes to be reasonable assumptions, the Corporation cannot assure readers that actual results, performance or achievements will be consistent with these forward‐looking statements, and management's assumptions may prove to be incorrect. These forward‐looking statements are made as of the date of this press release, and, other than as required by law, the Corporation does not intend, and does not assume any obligation, to update or revise these forward‐looking statements, whether as a result of new information, future events or otherwise.

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