Canamex Resources Corp. (TSX-V: CSQ) (OTC: CNMXF) (FSE: CX6) and Patriot Gold Corp. (OTC: PGOL) have closed the transaction whereby Canamex Resources has purchased Patriot Gold's 30-per-cent working interest in the Bruner gold/silver mine for US$1.0 million cash. Patriot retains a two percent net smelter return royalty on the Bruner properties including any claims acquired within a two-mile area of interest around the existing claims. Additionally, Canamex has the option to buy-down half of the NSR royalty retained by Patriot for US$5 million any time during a five-year period following closing of the purchase and sale agreement.
Canamex's chief executive officer, Mark Billings, commented: "This acquisition consolidates our 100-per-cent ownership stake in the greater Bruner property and offers our shareholders greater leverage to the exploration upside on the property and an increase in the price of gold."
Patriot Gold's Chairman, Bob Coale, said: "Consolidation of Patriot's interest in the Bruner project exemplifies our corporate mission of finding partners to develop our projects while maintaining an interest in the properties through net smelter returns. We are looking forward to the continued success of the Bruner gold project".
Greg Hahn, President and COO of Canamex and a Certified Professional Geologist (#7122) is the Qualified Person under NI43-101 responsible for preparing and reviewing for Canamex the data contained in this press release.
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Disclaimer: This announcement may contain forward-looking statements which involve risks and uncertainties that include, among others, limited operating history, limited access to operating capital, factors detailed in the accuracy of geological and geophysical results including drilling and assay reports; the ability to close the acquisition of mineral exploration properties, and other factors which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. More information is included in the company's filings with the Securities and Exchange Commission, and may be accessed through the SEC's web site at http://www.sec.gov.