Pershimco Resources Inc.
TSX VENTURE : PRO
FRANKFURT : BIZ

Pershimco Resources Inc.

October 30, 2014 09:00 ET

Pershimco Announces Shareholder Meeting Results

ROUYN-NORANDA, QUÉBEC--(Marketwired - Oct. 30, 2014) - Pershimco Resources Inc. (the "Company" or "Pershimco") (TSX VENTURE:PRO)(FRANKFURT:BIZ) wishes to provide an update on the results of its Annual and Special Meeting of Shareholders, held on October 24, 2014 in Rouyn-Noranda.

Fully 68% of shareholders participated in the election process, strongly demonstrating the commitment of the Company's shareholders. At the meeting, shareholders approved the appointment of the auditors, Deloitte s.e.n.c.r.l., as well as the election of members of the Company's Board of directors, consisting of Alain Bureau, Roger Bureau, Claude Arcand, Robert Bryce, Andrew Pullar, Jorge Bande and Jean Robitaille.

Pershimco's shareholders also approved the proposed amendments to the stock option plan of the Company (the "Stock Option Plan"), subject to the final approval of the TSX Venture Exchange. The Company has thus updated the Stock Option Plan in order to (i) reflect the modifications that have been made to the TSX Venture Exchange's policies; (ii) accelerate the vesting period of the options in the event of change of control; (iii) postpone the expiry date of options if it should fall within a blackout period; and (iv) reflect the number of stock options that may be granted according to the issued and outstanding common shares of the Company at the date of the approval of the Stock Option Plan by the shareholders. Moreover, at this same meeting, the majority of the disinterested shareholders approved the adoption of the restricted share unit plan (the "Restricted Share Unit Plan"). The Restricted Share Unit Plan remains subject to the final approval of the TSX Venture Exchange.

The formal meeting was followed by a technical review and progress report on the Company's wholly-owned Cerro Quema project.

PRO delivers

During the year, Pershimco Resources maintained its position as one of the leading companies on the TSX Venture Exchange, being ranked 41st amongst over 1,200 junior mining companies by market capitalization, according to the PwC (Pricewaterhouse Cooper) annual list.

The Company's latest key achievements include:

  1. Completing a robust Prefeasibility Study on the gold oxide deposits at Cerro Quema;
  2. Successfully intercepting positive Porphyry indicators along a 12km strike through deep drilling, providing further encouragement for its extensive campaign targeting the discovery of a world-class, copper-gold, porphyry deposit at Cerro Quema; and
  3. Agnico-Eagle Mines Limited's significant investment in the Company, a strong vote of confidence from an industry leader.

About Pershimco Resources Inc.

Pershimco Resources Inc. (TSX VENTURE:PRO)(FRANKFURT:BIZ) is a mineral exploration and development company with a near-term gold oxide production scenario and a copper-gold porphyry target at its 100%-owned Cerro Quema Project in Panama. Cerro Quema's concession boasts paved road access, no indigenous groups and the most favorable climate in the country. Based on the results from an independent Prefeasibility Study (July 2014), the Company's extraction-permitted gold oxide project has a pre-tax NPV of $165 million US with a pre-tax internal rate of return of 46.8% ($110 million US after tax with an after-tax rate of return of 33.7%), supported by recovery rates (86%) and lowest quartile all-in sustaining cash cost of $631/oz. Led by a skilled management team with a proven track record of building successful operating mining facilities in the Americas, Pershimco's project is scheduled to be in production in 2016. Additionally, the Cerro Quema Project has proven to have significant exploration upside with resource expansion potential in over 12 oxide targets identified along a 17km trend as well as porphyry indicators along a 12km strike length that suggests a copper-gold porphyry system is at depth. With strong shareholder support, Pershimco aims to achieve cash flowing status in the near term to continue uncovering the value of Cerro Quema.

The Company's documents are available on www.sedar.com.

Please visit the Company's website at www.pershimco.ca.

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. Statements made in this news release that are not historical facts are "forward-looking statements" and readers are cautioned that any such statements are not guarantees of future performance, and that actual developments or results, may vary materially from those in these "forward-looking" statement.

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