VAL-D'OR, QC, March 21, 2012 /CNW Telbec/ - Abitex Resources Inc. (TSXV: ABE) (the "Company " "Abitex ") is pleased to announce it has entered into an agreement with Bonterra Resources Inc. ("Bonterra ") whereby Bonterra can immediately acquire a 100% interest in the Lac Barry (aka "Eastern Extension") property located in Bailly and Barry Townships, Quebec (the "Property ") in consideration for the issuance of 1,250,000 shares. The agreement amends the option agreement dated September 15, 2010, as amended, (the "Option Agreement ") between the Company and Bonterra, and the closing is subject to regulatory approval, including that of the TSX Venture Exchange. Shares issued pursuant to the agreement will be subject to a restricted hold period expiring four months and a day after the date of issuance in accordance with applicable securities laws.
Under the Option Agreement, and prior to the amendments, Bonterra was granted the option to earn up to a 100% interest in and to the Property, subject to a third party NSR, in consideration for cash payments to Abitex totaling $110,000, issuing to Abitex a total of 1,350,000 shares, and incurring a total of $750,000 in exploration expenditures on the Property over four years. To date, Bonterra has paid $10,000, issued 500,000 shares and incurred in excess of $750,000 in exploration expenditures with respect to the Property.
Yves Rougerie, President & CEO, comments: "The acceleration of the sale of this property to Bonterra is good for both parties. Bonterra is now in a position to fully promote a valuable wholly-owned asset while Abitex will hold 1.75M shares of Bonterra and can gain from continued exploration and development success on the property. Bonterra has been an excellent partner and is definitely an asset for the development of the Urban-Barry mining camp. We wish them continued success."
About Abitex
Abitex Resources is an exploration and development company based in Val d'Or, Quebec, which is focused on advancing two uranium properties in the Otish Mountains region of north-central Quebec. The Company announced the results of a positive Preliminary Economic Evaluation ("PEA") for the Lavoie uranium-gold project on January 20, 2012, projecting an NPV of $88M and IRR of 42% based on conservative price and cost assumptions. The PEA report is available on SEDAR and on the Company's website at www.abitex.ca
Qualified Person
The information in this release has been reviewed and approved by Yves Rougerie, geo, President and CEO of Abitex Resources. Mr. Rougerie is a qualified person as defined by National Instrument 43-101.
The Company's public documents may be accessed at www.sedar.com
For further information on the Company, please visit our website at www.abitex.ca or contact us at [email protected]
| 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. | ||
| This press release contains "forward-looking information" which is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information. | ||
Yves J. Rougerie
President and CEO
Tel: (819) 874-6200
[email protected]
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