CALGARY, Sept. 16 /CNW/ -- Boxxer Gold Corp. (TSX Venture: BXX) ("Boxxer" or the "Corporation") today announced it has executed a Letter of Intent with Champlain Resources Inc. ("Champlain") on the Gordon Lake Gold Project (the "Property"). The earning-in by Champlain will be by way of a three-year option agreement. The proposed transaction is subject to regulatory and shareholder approval if required. Terms and conditions of the Letter of Intent are set out below.
Terms and Condition of Transaction:
a) Champlain has an option to earn a 55% interest over a three-year
period,
b) In year one, Champlain makes a cash payment to Boxxer of $50,000,
issues to Boxxer 250,000 common shares of Champlain and spends a
minimum of $200,000 on exploration expenditures on the Property,
c) In year two, Champlain makes a cash payment to Boxxer of $25,000,
issues to Boxxer 500,000 common shares of Champlain and spends a
minimum of $800,000 on exploration expenditures on the Property,
d) In year three, Champlain makes a cash payment to Boxxer of $25,000,
issues to Boxxer 500,000 common shares of Champlain and spends a
minimum of $1,000,000 on exploration expenditures on the Property,
The proposed transaction does not allow any partial earning of interest.
The proposed transaction is subject to the following conditions:
a) Champlain shall receive all approvals from necessary regulatory
authorities,
b) Champlain shall acquire adequate financing for one year minimum work
commitment, and
c) Champlain shall have adequate time to perform due diligence on the
Gordon lake Project including title search and completion of an
updated National Instrument 43-101 complaint technical reports on the
Gordon Lake Project.
The above conditions are expected to be satisfied by the end of October 2009. On satisfaction of the above mentioned conditions, Boxxer and Champlain shall enter into a formal option agreement.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accept
responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements: This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the Corporation's disclosure documents on the SEDAR website at www.sedar.com. The Corporation does not undertake to update any forward-looking information except in accordance with applicable securities laws.
%SEDAR: 00019646E
