Boss Power Corp. Announces Closing of Blizzard Settlement with the Province of British Columbia
June 02 2014 - 8:39AM
Marketwired
Boss Power Corp. Announces Closing of Blizzard Settlement with the
Province of British Columbia
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jun 2, 2014) - Boss
Power Corp. (TSX-VENTURE:BPU) ("Boss Power") is pleased to announce
it has closed on the settlement agreement with the Province of
British Columbia (the "Province") dated October 19, 2011 (the
"Blizzard Settlement"), amended as set forth below. As a result the
Province has paid the total amount of $30,356,422.67 (the
"Settlement Proceeds") in full and final settlement of Boss
Power v. Her Majesty the Queen in Right of British Columbia,
BCSC Action No. S087266.
In addition to the originally agreed upon terms of the Blizzard
Settlement, the Province received at closing an indemnity from Boss
Power and Blizzard Uranium Corp. (a wholly owned subsidiary of Boss
Power) respecting the mineral claims beneficially owned by Boss
Power, and a separate indemnity from Mr. Anthony Beruschi
respecting the mineral claims beneficially owned by Mr. Beruschi
(the "B Claims"). Pursuant to the indemnities, the respective
mineral claim owners warranted there are no liens, mortgages or
charges concerning the mineral claims they own, and agree to
indemnify the Province for any costs, expenses and disbursements
incurred by the Province in connection with any claims against the
Province from any other person claiming an entitlement to
compensation in respect of such mineral claims. For additional
Information respecting the original terms of the Blizzard
Settlement see the Boss Power press release dated October 20,
2011.
The Settlement Proceeds have been paid out pursuant to the
binding letter agreement (the "Letter Agreement") announced April
1, 2014, among Boss Power and Morning Star Resources Ltd., Magic
Dragon Ventures Ltd. and Anthony Beruschi (collectively, the
"Beruschi Parties"), which required the Settlement Proceeds be
disbursed as follows: (i) $3,600,000 to Anthony Beruschi; (ii)
$2,500,000 to Boss Power for interim funding purposes; and (iii)
the balance of the settlement proceeds to be held in trust pending
completion of a divisive reorganization by way of plan of
arrangement under the Business Corporations Act (British Columbia)
(the "Arrangement") as more particularly described in the Boss
Power press release dated April 1, 2014. Further, the agreed cost
amount of $356,422.67 was paid by the Province directly to Boss
Power's legal counsel.
Full details of the settlement of the legal disputes between
Boss Power and the Beruschi Parties and the Arrangement
(collectively, the "Transaction") will be included in an
information circular to be mailed to Boss Power shareholders in
accordance with applicable securities laws. The Transaction is
expected to close before the end of August, 2014.
Forward-Looking Information: This release contains
forward-looking information within the meaning of applicable
Canadian securities legislation. All statements, other than
statements of historical fact are forward-looking statements.
Forward-looking statements involve various risks and uncertainties.
There can be no assurance that such statements will prove to be
accurate, and actual results and future events could differ
materially from those anticipated in such statements. Boss Power's
forward-looking statements reflect the beliefs, opinions and
projections on the date the statements are made. Boss Power assumes
no obligation to update the forward-looking statements of beliefs,
opinions, projections, or other factors, should they change.
Neither the
TSX Venture Exchange nor the Investment Industry Regulatory
Organization of Canada accepts responsibility for the adequacy or
accuracy of this release.
Boss Power Corp.Ron NetolitzkyActing CEO(604) 688-8115Boss Power
Corp.Tony PerriInvestor Relations, Manager(604) 688-8115(604)
669-2543