New Carolin Gold Provides Corporate Update
WHITE ROCK, BRITISH COLUMBIA--(Marketwire - Oct. 31, 2012) -
NOT FOR DISTRIBUTION IN THE UNITED STATES
New Carolin Gold Corp. (TSX VENTURE:LAD) announces that it is in continuing discussion with Sampson Belair / Deloitte & Touche Inc. ("Receiver") regarding its obligations under the Purchase and Sale Agreement ("PSA") dated July 12, 2011 with Century Mining Corporation ("CMC") to purchase the Carolin Mine and accompanying claims from CMC.
Century Mining Corporation was placed into receivership on May 29, 2012 and subsequently, the provisions of the PSA are now the obligations of the Receiver. The Company has had several communications with the Receiver and has made two formal proposals. The latest proposal is based on a complete buyout of the PSA on a discounted basis and the Company is awaiting a formal response.
Under the PSA, the Company was to have made a payment of $1,500,000 on October 31, 2012. The Company is in late stage negotiations regarding the financial backing for its latest proposal and additional capital for development.
On another important note, the Company has made the Receiver aware of certain obligations that CMC was to have honoured to New Carolin Gold under the PSA and these obligations have yet to be met.
About New Carolin Gold Corp.
New Carolin Gold is a Canadian-based junior mineral exploration and development company engaged in the acquisition, exploration, evaluation and development of 144 sq kms of contiguous mineral claims, collectively known as the Ladner Gold Project, located along the prospective and under-explored Coquihalla Gold Belt located in southeastern British Columbia, which is host to several historic small gold producers including the Carolin Mine, Emancipation Mine, Pipestem Mine and numerous gold prospects.
For further Company and technical information, please visit the Company's website at www.newcarolingold.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Bruce W. Downing, M.Sc., PGeo., Hon.FEC, President & Chief Executive Officer
Caution concerning forward-looking information
This news release may contain forward-looking statements that are based on the Company's expectations, estimates and projections regarding its business and the economic environment in which it operates. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements and readers should not place undue reliance on such statements. Statements speak only as of the date on which they are made, and the Company undertakes no obligation to update them publicly to reflect new information or the occurrence of future events or circumstances, unless otherwise required to do so by law.
FOR FURTHER INFORMATION PLEASE CONTACT:
New Carolin Gold Corp.
Bruce W. Downing, M.Sc., PGeo., Hon.FEC
President & Chief Executive Officer