PGM Ventures Corporation

PGM Ventures Corporation

July 21, 2005 15:21 ET

PGM Ventures Corporation: Press Release

TORONTO, ONTARIO--(CCNMatthews - July 21, 2005) - PGM Ventures Corporation (TSX VENTURE:PPG) - PGM Ventures Corporation ("PGM") wishes to issue an update in respect of various matters and certain transactions which have been previously announced.

PGM is pleased to announce that it has entered into a formal management services agreement with Billiken Management Services Inc. Billiken has provided similar services to PGM over the past twelve months pursuant to a verbal agreement. The current written agreement reflects the prior understanding between the parties. Pursuant to the management services agreement, Billiken shall provide administrative and general reception services to PGM, as well as providing office space, telephone and other related services. The consideration for these services is $2,000 per month. Billiken shall also provide investor relations services and any other services over and above administrative and office space to PGM for 10% in excess of Billiken's cost of providing the same. The term of the agreement is for twelve months and may be renewed at the option of PGM for a further twelve months. Billiken is not at arm's-length to PGM and the agreement is subject to regulatory approval.

PGM had announced on January 14, 2004 that it intended to make a take-over bid for Nord Pacific Limited. Subsequently, Allied Gold Limited completed a take-over bid for Nord Pacific Limited and PGM Ventures Corporation abandoned its bid for the company.

PGM had previously announced on May 26, June 22 and June 29, 2004 certain transactions with Peabody Capital Partners (Now Richview Resources Inc.), pursuant to which Richview would provide a convertible loan facility that was to be secured against certain assets of PGM. Richview has only provided $700,000 principal amount and therefore, Richview and PGM have agreed to settle this debt in a mutually satisfactory manner, the terms of which are still being negotiated. The debt settlement transaction will be subject to regulatory approval.

On November 12 and 16, 2004, the Company announced its intention to sell its interest in certain properties in Venezuela to Simberi Gold Corporation. The parties were unable to come to definitive terms in respect of such sale, and therefore, this transaction will not proceed.

PGM is listed on the TSX Venture Exchange and has 68,924,585 shares issued and outstanding. To find out more about PGM Ventures Corporation (TSX-V: PPG), please call Peter Miller at (416) 815-8666.

This press release includes certain "Forward-Looking Statements" within the meaning of the US Private Securities Reform Act of 1995. Other than statements of historical fact, all statements are "Forward-Looking Statements" that involve such various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this press release are cautioned not to place undue reliance on these "Forward-Looking Statements". All dollar amounts are Canadian dollars unless otherwise noted.

The TSX Venture Exchange Inc. has neither approved nor disapproved the information herein contained.

Contact Information

  • PGM Ventures Corporation
    Peter Miller
    (416) 815-8666