Erin will have the right to buy back the GSR interests either for cash or for shares and two-year warrants. The purchase price for the GSR interest will be 200% of the cost in the first two years, increasing by 50% of the cost each year thereafter to a maximum of 350%. If the buyback is for shares, the share price will be a 15% discount to the then market price (subject to the market price achieving certain minimum amounts) and the warrant exercise price will be 150% of the then market price in the first year and 200% of the market price in the second year. GSR holders will have the right to convert their GSR interest into shares of Erin on each anniversary date of the GSR agreement for four years. The conversion rate will be 200% of the cost for the first two years, increasing by 50% of the cost each year thereafter to a maximum of 300%, reduced by the amount of all royalties paid or accrued prior to conversion, and the shares will be issued at a 5% discount to the then market price (subject to the market price achieving certain minimum amounts).
Erin intends to use the proceeds from this financing to fund exploration and other expenses on its wholly owned Piskanja boron project in
This proposed financing is subject to the approval of the
On behalf of the Board of Directors,
Blake Fallis, General Manager
Piskanja is a high-grade boron deposit with a NI 43-101 compliant mineral resource of 5.6 million indicated tonnes (30.8% B2O3), in addition to 6.2 million inferred tonnes (28.8% B2O3).
For further information, please contact:
Erin Ventures Inc. Blake Fallis, General ManagerPhone: 1-250- 384-1999 or 1-888-289-3746 email@example.com Erin's Public Quotations CanadaTSX Venture: EV USASEC12G3-2(B)#82-4432 OTCBB:ERVFF Europe Berlin: EKV
Forward Looking Statements:
This press release contains or refers to forward-looking information under Canadian securities legislation, including statements regarding the timing of future mineral resource estimates and the PEA, estimation of mineral resources, exploration results, potential mineralization, exploration and mine development plans, timing of the commencement of operations and future production and is based on current expectations that involve a number of business risks and uncertainties. The words "believe," "expect," "feel," "plan," "anticipate," "project," "could," "should" and other similar expressions generally identify forward-looking statements. Forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, failure to convert estimated mineral resources to reserves, capital and operating costs varying significantly from estimates, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry, as well as those factors discussed in the section entitled "Risks of the Business" in the Company's most recent regulatory filings which are posted on SEDAR at www.sedar.com. These forward-looking statements are made as of the date hereof and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by applicable securities law. These and other factors made in public disclosures and filings by the Company should be considered carefully.
To view the press release as a PDF, please click on the following link: http://www.fscwire.com/sites/default/files/news_release_pdf/erinventures05122014.pdf