Further to their press release of September 24, 2007, Corona Gold Corporation (CRG-TSX, “Corona”) and Laramide Resources Ltd. (LAM-TSX, “Laramide”) are pleased to announce that they have closed the transaction pursuant to which Laramide has purchased, through its whollyowned subsidiary, Divine Lake Exploration Corp. (“NewGoldCo”) 100% of Corona’s and Teck Cominco Limited’s (TCK.B-TSX, “Teck Cominco”) respective interests in the Thunder Lake West, Thunder Lake East and certain adjacent properties in and around Dryden, Ontario (collectively the “Properties”) under the terms previously announced.
On closing Corona received from Laramide cash consideration of approximately $5,000,000. Under the terms of the agreement Corona will further receive from Laramide aggregate cash consideration of $10,000,000 and a 10% interest in NewGoldCo after it becomes a public company. Teck Cominco received cash consideration of approximately $1,137,299 at closing and will further receive aggregate cash consideration of $2,274,598 and a 2.27% interest in NewGoldCo. Laramide will also transfer to NewGoldCo Laramide’s adjacent Goliath property and certain of Laramide’s other non-uranium assets.
The balance of consideration for the Properties will be payable as follows:
Corona’s sale of its interest in the Thunder Lake Properties and its continuing investment in NewGoldCo are consistent with Corona’s stated intention to maximize the value of its existing properties and to explore new resource-based exploration and investment initiatives. Laramide’s completion of this acquisition will form the basis of the intention expressed in the Laramide announcement of April 3, 2007 to spin off its non-uranium assets to NewGoldCo.
FOR FURTHER INFORMATION CONTACT:
|Corona Gold Corporation
Murray John, President
Tel: (416) 482-8606
|Laramide Resources Ltd.
Marc Henderson, President
Tel: (416) 599-7363