Takara Resources Inc.
TSX VENTURE : TKK

Takara Resources Inc.

April 27, 2009 09:00 ET

Takara Resources Inc.: Corporate Update

TORONTO, ONTARIO--(Marketwire - April 27, 2009) -

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWS AGENCIES

Takara Resources Inc. (TSX VENTURE:TKK) ("Takara" or the "Company") announces the following Corporate Update.

Update on Garson Gold Transaction

The setting of the record date in respect of the proposed distribution of the 10,000,000 shares of Garson Gold Corp. to Takara shareholders is pending receipt of approval by the TSX Venture Exchange for the transactions contemplated with Garson Gold, and final procedural advice from the Company's fiscal advisors (See March 13, 2009 News Release).

As at March 15, 2009, Julie Lassonde assumed the role of President of Garson Gold, and has been working with the Garson Gold team in identifying the deliverables required to advance the New Britannia Gold Mine. As part of the transaction with Garson Gold, the Company vended its interests in its Canadian Gold projects to Garson Gold, and it is the Company's intention to distribute the Garson Shares to all Takara shareholders as described above.

Julie Lassonde remains a director of Takara Resources and holds the office of Executive Vice President.

Miskamowin Nickel Project, Manitoba

The Company's key projects are the Kaibab joint venture (exploration for uranium breccias pipes in Arizona, USA), and the Miskamowin Project (Mineral Exploration Licences in Manitoba prospective for Nickel).

On January 26, 2009, the Company announced the acquisition of five Mineral Exploration Licences prospective for nickel sulphides, covering an area of approximately 110,000 hectares located west of Thompson, Manitoba. This project area has now increased to 12 Mineral Exploration Licenses covering approximately 270,000 hectares, and the Company is contemplating an airborne survey in its initial program planning.

The Company also announced the terms of the earn-in for the Miskamowin project, which stated that where a resource estimate compliant with National Instrument 43-101 is completed on the project by an independent Qualified Person evidencing not less than 1,000,000 tonnes having an average grade of not less than 0.9% Nickel, Mungall shall be entitled to be issued a number of shares that results in Mungall holding not less than 1,000,000 common shares (issued as per the Agreement) at the time of completion of the resource estimate hereinbefore described.

For clarity, the agreement provides that Mungall shall be entitled to "an aggregate 1,000,000 common shares (counting all previously issued shares under the Agreement) at the time of completing the resources estimate hereinbefore described".

In order to preserve its interest in these key projects, the Company is evaluating several transactions that will enable it to maintain the agreements in good standing.

Other Project Update

Given the prolonged downturn in market conditions, the Company does not have the resources to maintain all of its remaining assets in good standing, and accordingly has elected to terminate the option on the Alberta Potash venture with Grizzly Diamonds, has not renewed its claims in respect of the uranium claims in Newfoundland Labrador on the Baie Verte project, and has downsized its interest in the Basket Lake project, a uranium play in Northwestern Ontario. Further, the Takara has withdrawn its applications for coal concessions in South Africa but maintains a comprehensive database of coal data for potential future consideration. The Company is confident that it can be in a position to step back into similar coal opportunities, should market conditions improve.

Corporate Matters - Debt Settlement

The Company has entered into debt settlement agreements for the issuance of an aggregate 1,080,000 common shares to related party creditors, in consideration for the settlement of an aggregate $54,000 debt at a deemed price of $0.05. The transaction is subject to the receipt of regulatory approval, and the shares issuable will be excluded from the proposed distribution of the Garson Shares.

All transactions contemplated herein are subject to securities regulatory approvals. The securities of Takara Resources Inc. have not been registered under the United States Securities Act of 1933, as amended, or the securities laws of any U.S. State, and may not be offered or sold in the United States or to any "US Person" (as defined in Regulation S under the Securities Act of 1933) absent registration or an exemption from registration.

Certain information contained in this press release, including information and statements which may contain words such as "could", "plans", "should", "anticipates", "expect", "believe", "will", and similar expressions and statements relating to matters that are not historical facts are forward-looking information. All of the forward-looking information contained in this press release is qualified by this cautionary statement. There can be no assurance that the actual results or developments anticipated by Takara, as expressed or implied by the forward-looking information, will be realized or, even if substantially realized, that they will have the expected consequences to or effects on Takara or its business operations. Takara disclaims any intention or obligation to update or revise any forward-looking information as a result of new information or future events. Readers should not place undue reliance on forward-looking information.

THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.

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

  • Takara Resources Inc.
    Jennifer L. Boyle, B.A., LL.B.
    Chief Executive Officer
    (647) 430-0966 (work)
    or
    Takara Resources Inc.
    Pamela Strand, P. Geol.
    Chair, Board of Directors
    (780) 435-0045 (work)