Ecometals Limited: Update Re Closing of Proposed Sale of Condor Gold Project
April 26, 2010 at 16:37 PM EDT
TORONTO, ONTARIO--(Marketwire - April 26, 2010) - Ecometals Limited (TSX VENTURE:EC)(BERLIN:GDQ)(FRANKFURT:GDQ) ("Ecometals") on 06 April 2010 had indicated it would terminate the Agreement with Alca Gold Limited ("Alca"), to sell Ecometals' shares in Condormining Corporation S.A. and Condorview S.A. to Alca for US$9,000,000 to be satisfied in cash, if the closing payment was not made on 23 April 2010.
The closing payment was not made on 23 April 2010. However, Alca has requested a further extension supported by a proposal to make an immediate US$1,000,000 payment into an account with an escrow agent as a sign of their commitment to closing the transaction within 60 days. A non refundable payment of US$100,000 will then be transferred from the escrow account to Ecometals Limited and a further non refundable transfer of US$100,000 after 30 days. Both payments will be offset against the final purchase price if the closing transaction is completed. If the transaction is not completed, then the balance of the US$1 million will be returned to Alca.
Ecometals Limited is a Canadian TSX Venture Exchange listed mineral exploration and development company focused on mineral resources in Latin America. Apart from its gold exploration in Ecuador, Ecometals also has significant manganese, iron and gold projects in Brazil at grass roots and development planning stages.
Safe Harbour Statement:
This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward looking information. Forward looking information in this news release includes statements regarding the closing of the Transaction. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure of the purchaser to secure funding to complete the purchase, failure of Ecometals and/or the purchaser to satisfy conditions of closing, risks relating to changes in economic or regulatory conditions and Ecometals' ability to execute its business model and strategic plan and other risks set out in Ecometals' public documents filed on SEDAR. Although Ecometals believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Ecometals disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.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.