Toronto, Canada – November 3, 2014 – Savary Gold Corp. (TSX-V: SCA) (“Savary”) has issued 13,338,729 common shares to Endeavour Mining Corporation to be held in escrow in connection with the option agreement for the Houndé South gold project located in south-west Burkina Faso. The option and earn-in agreement among the parties called for Savary to incur US$3 million in exploration expenditures and issue common shares of Savary representing 19.99% of the issued and outstanding shares to Endeavour.
The parties have entered into a declaration of trust whereby Endeavour will hold the Houndé South concessions in trust for the benefit of Savary until such time as the concessions are formally transferred by the authorities in Burkina Faso. The 13,338,729 shares of Savary will be held in escrow pending the official transfer of the Houndé South concessions and will then be released from escrow in accordance with surplus escrow terms as mandated by the TSX Venture Exchange.
Don Dudek, Savary’s President and CEO commented: “By completing the escrow agreement and declaration of trust with Endeavour, Savary has fulfilled its obligations to Endeavour as per the Houndé South Earn-In option agreement while the government of Burkina Faso completes the transfer and concession renewal process. Now we are able to advance our work program for the Houndé South and Serakoro 1 concessions with Sarama Resources Ltd. and embark on other value-building initiatives.”
About Savary Gold
Savary Gold is a Canadian exploration company focused on exploring the Houndé South Gold Property in Burkina Faso. The property is in the Birimian age Houndé Greenstone Belt, which hosts Semafo’s Mana mine and additional gold deposits that are presently subject to extensive exploration efforts (including Endeavour Mining’s Houndé Project, Roxgold’s Yaramoko Project and Sarama’s South Houndé Project, which is adjacent to Savary Gold’s property). For additional information please visit our website at www.savarygold.com and follow us on Facebook, Linked-In and Twitter: @SavaryGold.
Don Dudek, P.Geo., President and CEO of the Company and a “Qualified Person” under National Instrument 43-101, has reviewed and approved the scientific and technical information in this press release.
SAVARY GOLD CORP.
On behalf of the Board
President & Chief Executive Officer
For more information, please contact:
Michael McAllister, Manager, Investor Relations
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 news release may contain forward-looking statements. These statements include statements regarding the earn-in portion of the option agreement for the Houndé South gold project, the transfer of the Hounde South concessions to Savary from Endeavour, the exploration potential of Savary's properties and the satisfaction of work commitments related to the option on the Hounde South property. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.