TORONTO, June 8 /CNW/ - Corona Gold Corporation (CRG-TSX) and Harte Gold Corp. (YHR-TSXV) announce that they have entered into an agreement of purchase and sale under which Corona will sell its 51% interest in the Sugar Zone property to Harte, which currently holds the remaining 49% interest. Upon completion of the transaction, which is subject to regulatory approval, Harte will have a 100% ownership interest in the property subject to a 3.5% net smelter royalty payable on a portion of the property to third parties. Under the terms of the agreement, Corona will sell its interest in the property for $5.0 million in cash and warrants to purchase an aggregate of 2,500,000 common shares of Harte at an exercise price of $0.50 per share. The warrants will expire on the fifth anniversary of the closing date if Harte becomes a Tier 1 issuer on the TSX Venture Exchange or obtains a listing on the Toronto Stock Exchange prior to the second anniversary of the closing date, or otherwise on the latest date permitted by the TSXV. Corona will also retain an option to re-acquire at any time an undivided 20% interest in the Sugar Zone property upon payment of an amount equal to the aggregate of: $1.0 million and 20% of all costs incurred in respect of the property by Harte following the closing date. In addition Corona has a right of first refusal to arrange production financing for the project. Closing of the transaction is currently scheduled for July 7, 2006. The Sugar Zone Property consists of 324 unpatented, contiguous claims consisting of 712 claim units, and covering approximately 11,560 hectares located 25 km north of White River in the Sault Ste. Marie Mining Division of Ontario. The claims cover the central portion of the Dayohessarah greenstone belt which trends in a north-south direction and which lies approximately 60 km east of the Hemlo gold deposit. As previously disclosed, a technical report dated May 17, 2004 prepared by D. Hunt of Sharpstone Geoservices Ltd estimated the Sugar Zone property to contain inferred mineral resources of 954,600 tonnes grading 9.93g/t Au. The Toronto Stock Exchange and the TSX Venture Exchange have in no way passed upon the merits of the proposed transaction and have neither approved nor disapproved the contents of this press release.