TORONTO, ONTARIO--(Marketwire - July 23, 2012) - Further to the MacDonald Mines Exploration Ltd. (TSX VENTURE:BMK) ("MacDonald" or the "Company") press release dated June 29, 2012, the Company is pleased to announce it has now signed a definitive purchase and sale agreement for the acquisition of all of Noble Mineral Exploration Inc's (TSX VENTURE:NOB), ("Noble") property interests in the James Bay Lowlands, Ring of Fire region.
In order to acquire those interests, which include a minority interest in 6 claims on otherwise 100% owned MacDonald property, the Company has agreed to the following payments:
| a) | Cash: $150,000, of which $75,000 will be paid within 5 days (refundable in the event the property is not transferred by the deadline noted in the agreement) and $75,000 to be paid within 120 days of the transfer of the property, |
| b) | Common Shares: 3,000,000 common shares of the Company, and |
| c) | Warrants: the issuance of a total of 3,000,000 warrants to acquire common shares of the Company with 1,000,000 warrants exercisable at a price of $0.30 per share; 1,000,000 warrants exercisable at a price of $0.50 per share and 1,000,000 warrants exercisable at a price of $0.70 per share. All warrants expire after two years from the date of issuance. |
This transaction has been approved by the TSX Venture Exchange ("TSX-V"). All securities to be issued are subject to a hold period of four months and one day from the date of issuance.
The Company has received TSX-V approval for the recent acquisition of certain Temex Resources Corp. (TSX VENTURE:TME) ("Temex") property interests in the Ring of Fire as announced in the Company's July 5, 2012 press release.
In addition to acquiring Noble's 100% owned property in the region, this now gives the Company a 100% interest in several claim blocks in which it previously held a joint venture interest with Noble and/or Temex.
MacDonald's continues to drill VMS (copper/zinc) and nickel targets on its highly prospective Butler property. Assays are pending.
About MacDonald Mines Exploration Ltd.
MacDonald Mines is a mineral exploration company with an established exploration history in the Canadian Northlands. MacDonald Mines has set upon a strategic direction of exploration with particular focus on nickel, chrome, copper, zinc, vanadium and titanium in the "Ring of Fire" area of the James Bay Lowlands of Northern Ontario.
More information about the Company is available at www.macdonaldmines.com.
Cautionary Statement
The foregoing information may contain forward-looking statements relating to the future performance of MacDonald Mines Exploration Ltd. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially from MacDonald's plans and expectations. These plans, expectations, risks and uncertainties are detailed herein and from time to time in the filings made by MacDonald with the TSX Venture Exchange and securities regulators. MacDonald does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise. We seek safe harbour.
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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
Contact Information:
Brent Nykoliation
Vice President of Business Development
(416) 364-4986
(416) 364-2753 (FAX)
bnykoliation@macdonaldmines.com
MacDonald Mines Exploration Ltd.
Kirk McKinnon
President & CEO
(416) 364-4986
(416) 364-2753 (FAX)
kmckinnon@macdonaldmines.com
www.macdonaldmines.com