|December 23, 2010|
Avaranta Resources Merges with Evrim Metals
|December 23, 2010 Toronto, Ontario|
Avaranta Resources Ltd. ("Avaranta" or the "Company") (CNSX:AVN) and Evrim Metals Corporation ("Evrim") are pleased to announce that shareholders of Avaranta unanimously approved the combination of the business and assets of Evrim with those of Avaranta, and to change the name of the Company to Evrim Resources Corp. at the special meeting held today.
The combination provides Avaranta shareholders with nine quality mineral projects and a geological database primarily in Sonora, Mexico, and Evrim shareholders with access to public markets and venture capital. Pursuant to the Merger Agreement signed between Avaranta and Evrim on November 4, 2010, Evrim will amalgamate with a wholly owned subsidiary of Avaranta pursuant to the Business Corporations Act (British Columbia), and each Evrim share will be exchanged for one share of Avaranta.
Shareholders also approved a new slate of directors comprising the following individuals:
- J. Patrick (Paddy) Nicol
- Paul van Eeden
- David A. Caulfield
- Michael D. McInnis
- E. Kenneth Paul
In addition to the board of directors, Robert Duncan (VP Exploration), Dorothy Miller (CFO and Secretary), and Rory Kutlouoglu (VP Business Development) have joined the Evrim management team.
Concurrently with the special meeting, Evrim closed a private placement to raise gross proceeds of $7,103,000. A total of 14,206,000 shares were issued at a price of $0.50 per share. Finder's fees of $379,875 were paid to registered representatives. Proceeds of the private placement will be used for the exploration of the Company's La Noria project, for other project exploration and generation, and for general working capital. After the combination and closing of the private placement, the Company will have 24,006,002 shares issued and outstanding and 24,406,002 shares on a fully diluted basis. Management will own approximately 28% of the issued and outstanding shares of the Company.
About Evrim Resources
Evrim Resources is a publicly listed junior exploration company with nine copper and gold projects, and a geological database in Mexico. Evrim's business plan is to generate exploration targets that it will advance through option and joint venture agreements with industry partners to create shareholder value. The projects generated to date form a solid foundation for Evrim's execution of the joint venture business model, which will be further enhanced by a pipeline of new projects developed internally.
In addition to the shareholder approvals obtained today, Evrim Resources has made a formal application for a public listing with the TSX Venture Exchange.
On Behalf of the Board AVARANTA RESOURCES LTD. (EVRIM RESOURCES CORP.)
Paddy Nicol, President & CEO
To find out more about Evrim Resources Ltd., please contact Paddy Nicol, President at 604-248-8648.
Forward Looking Information
This news release includes certain statements that may be deemed "forward looking statements". All statements in this news release, other than statements of historical facts, that address events or developments that Avaranta Resources Ltd. and Evrim Metals Corp. (collectively the "Companies") expects to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.
Although the Companies believe the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward looking statements. Factors that could cause the actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Companies' management on the date the statements are made. Except as required by securities laws, the Companies undertake no obligation to update these forward looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
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