CALGARY, ALBERTA -- (Marketwire) -- 03/12/13 -- Manson Creek Resources Ltd. (TSX VENTURE: MCK) ('Manson Creek') is pleased to announce that it has entered into a letter agreement for the option of the Up Town Gold Project by Petro-Occidente Capital Corp. (TSXV: OPP.P) ('OPP') where Manson Creek is assigning its option to acquire 100% of the Up Town Gold property, subject to a 2.5% net smelter return royalty held by the underlying vendor, to OPP.
"This deal with Petro-Occidente Capital Corp. provides Manson Creek an excellent opportunity to further exploration on the Up Town Gold property without spending its own capital in these challenging economic conditions," said Regan Chernish, P.Geol., President of Manson Creek Resources Ltd.
The Manson Creek will receive a $25,000 cash payment and 100,000 common shares of OPP upon the closing of the acquisition. Manson Creek will receive an additional 100,000 common shares of OPP on or about January 28, 2014 and again on or about January 28, 2015 provided the option remains in effect.
If Petro-Occidente Capital Corp. exercises the option to acquire the Up Town Gold property, then for a period of 60 days after such exercise Manson Creek will have a right to earn a 40% interest in the Property (the "Back-in Right") by providing notice of the exercise of such Back-in Right and paying to OPP, in cash, 40% of all cash payments made by OPP, 40% of all exploration expenses incurred by or on behalf of OPP and 40% of the fair market value on the date of issue of all the shares issued to Manson Creek.
The aforementioned terms and conditions are subject to regulatory and exchange approval. The President of Manson Creek Resources Ltd., Regan Chernish P.Geol., is the Qualified Person responsible for the preparation of this news release.
Regan Chernish, P. Geol., President and Director
Except for the historical and present factual information contained herein, the matters set forth in this news release, including words such as "expects", "projects", "plans", "anticipates" and similar expressions, are forward-looking information that represents management of Manson Creek's internal projections, expectations or beliefs concerning, among other things, future operating results and various components thereof or the economic performance of Manson Creek. The projections, estimates and beliefs contained in such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Manson Creek's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things, those described in Manson Creek's filings with the Canadian securities authorities. Accordingly, holders of Manson Creek shares and potential investors are cautioned that events or circumstances could cause results to differ materially from those predicted. Manson Creek disclaims any responsibility to update these forward-looking statements.
The TSX Venture Exchange has neither approved nor disapproved of the contents of this press release.
Manson Creek Resources Ltd.
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