Ressources Appalaches Inc.
TSX VENTURE : APP

Ressources Appalaches Inc.

November 28, 2012 09:14 ET

Ressources Appalaches: Financing Offer of US $10 Million to Advance its Dufferin Mine Project to Production

RIMOUSKI, QUEBEC--(Marketwire - Nov. 28, 2012) -

NOT FOR DISTRIBUTION TO PRESS SERVICES IN THE UNITED STATES AND NOT FOR CIRCULATION IN THE UNITED STATES

Ressources Appalaches (TSX VENTURE:APP) is pleased to announce that it has signed a term sheet for a US $10 million gold prepayment agreement with a New York based financing firm. The Loan would bear interest at a rate of 8% per annum and would be repaid by the delivery of 9,000 ounces of gold over a twenty-four month period starting the thirteenth month following the closing date.

Proceeds from the loan will be used to resume gold production at the Dufferin Mine project in Nova Scotia, starting with the three phase work plan detailed in the Company's 43-101 Technical Report dated May 30, 2012 (press release of June 06, 2012).

The Loan is expected to close by end-January 2013 and will be secured by the Company's assets. The Loan is subject to satisfactory legal and technical due diligence.

Ressources Appalaches will pay an upfront fee equal to 3% on the amounts drawn and 5,000,000 warrants, as well as enter in an off-take agreement for all production from the Dufferin Mine on market based pricing. The Company will have the option to buy back the off-take for US $2,000,000 one year after the fulfillment of the 9,000 ounces of gold deliveries.

The Loan was arranged by Axiom Capital Management Inc. Finder's fee equates to 5% in cash and in warrants of the amount drawn. The agreement and the issuance of all fees and shares shall be subject to the prior approval of the TSX Venture Exchange.

Alain Hupé, President & CEO commented, "With this loan once finalised, which comprises of a very limited share dilution, we will be very well positioned to proceed towards production."

About Ressources Appalaches

Since it was created in 1994, the goal of Ressources Appalaches has been to discover and develop deposits of base and precious metals in Canada with an expertise targeted towards the Appalachian geological formation in Québec and Nova Scotia. The Company is mainly focused on the exploration and development of the Dufferin Gold Mine in Nova Scotia.

Photos of the Dufferin Mine and its facilities are available on the Company's website at: www.ressourcesappalaches.com.

About Axiom Capital Management Inc.

Headquartered in New York, NY, Axiom Capital Management, Inc. is a FINRA registered Broker-Dealer with 63 employees and more than $1.4 billion in assets under management (AUM). With over 20 years of experience, Axiom combines broad-based transactional expertise in the industry knowledge, to provide service to their clients.

End of Contractual Services with Renmark Financial Communications

Ressources Appalaches announces that it will be terminating on November 30, 2012 its contractual agreement with Renmark Financial Communications Inc.

The contents of this press release were prepared and checked by Alain Hupé, Eng. a Qualified Person as defined in NI 43-101. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts any responsibility for the adequacy or accuracy of this release.

This press release may contain certain forward-looking statements that include elements of risk and uncertainty. Consequently, actual results may differ substantially from those anticipated in such statements. These risks and uncertainties are described in the quarterly and annual reports, and in the documents submitted to the securities administration.

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