Stock Symbol: SGF: TSX
SASKATOON, Dec. 4, 2014 /CNW/ - Shore Gold Inc. ("Shore" or
the "Company") wishes to announce that it has settled an
outstanding amount owed by Wescan Goldfields Inc. ("Wescan") to the
Company. As a result of this settlement the Company has been issued
4,511,076 common shares of Wescan ("Wescan Shares") at a price of
$0.05 per Wescan Share. The Wescan
Shares acquired pursuant to the settlement represent approximately
16.9% of the issued and outstanding Wescan Shares. This
share-for-debt settlement agreement, which was approved by the TSX
Venture Exchange, is pursuant to the securities for debt exemption
in section 2.14 of National Instrument 45-106 Prospectus and
Registration Exemptions. Immediately after the issuance of the
4,511,076 Wescan Shares, Shore beneficially owned and controlled an
aggregate of 5,806,626 Wescan Shares, representing approximately
21.7% of the issued and outstanding Wescan Shares on an undiluted
basis and approximately 18.2% on a fully diluted basis. The
securities issued to Shore as a result of this settlement are
subject to a hold period of four months.
The purpose of this settlement was to settle outstanding amounts
owed to Shore by Wescan as Wescan did not have cash available to
repay these amounts. Shore has no further intention of acquiring
additional securities of Wescan.
Shore is a Canadian based corporation engaged in the
acquisition, exploration and development of mineral properties.
Shares of the Company trade on the TSX Exchange under the trading
symbol "SGF".
This press release is issued pursuant to National Instrument
62-103 The Early Warning System and Related Take-Over Bid and
Insider Reporting Issues, which also requires a report to be
filed with regulatory authorities in each of the jurisdictions in
which Wescan is a reporting issuer.
SOURCE Shore Gold Inc.