San Anton Resource Corporation Shareholders Approve Proposed Business Combination With Kings Minerals
TORONTO, ONTARIO -- (Marketwire) -- 08/30/10 -- San Anton Resource Corporation (TSX: SNN) announces that its shareholders have approved the proposed business combination with Kings Minerals NL (ASX: KMN) at a shareholders meeting held earlier today. The resolution to approve the business combination was approved by 97.41% of the votes cast by shareholders at the meeting, and by 78.81% of the votes cast by minority shareholders at the meeting.
Pursuant to the proposed business combination, Kings Minerals will acquire all of the Company's common shares it does not own in consideration for Kings Minerals ordinary shares on the basis of two and one-half (2.5) Kings Minerals shares for each San Anton share. The completion of the business combination is subject to Kings Minerals obtaining conditional approval for a listing of its ordinary shares on the TSX or the TSX Venture Exchange. Kings Minerals has applied to the TSX Venture Exchange for a listing and it is anticipated that additional details with respect to the status of the application will be announced soon. Kings Minerals has not yet received conditional approval for a listing, and listing will be subject to Kings Minerals fulfilling all of the listing requirements of the TSX Venture Exchange.
It is anticipated that closing of the business combination will occur shortly after the receipt of conditional approval for a Kings Minerals TSX Venture Exchange listing. Upon closing, San Anton will become an indirect wholly-owned subsidiary of Kings Minerals, the San Anton shares will be delisted from the TSX and each San Anton share outstanding immediately prior to the closing will be exchanged for two and one-half (2.5) Kings Minerals shares for each San Anton share. No fractional Kings Minerals shares will be delivered to any San Anton shareholder and any fractional shares will be rounded down to the nearest whole number.
Details of the proposed business combination are set out in the information circular of the Company prepared in connection with the shareholders meeting, which was mailed with related materials to the Company's shareholders on August 6, 2010. The information circular and related materials have also been filed on SEDAR and are available under the Company's profile at www.sedar.com.
Neither the TSX nor the TSX Venture Exchange have approved or disapproved the contents of this press release, nor have they in any way passed on the merits of the proposed business combination.
About San Anton Resource Corporation
San Anton Resource Corporation is an exploration and development company that is listed on the TSX and is totally focused on the mining friendly jurisdiction of Mexico. The Company's principal asset is a 64% interest in the San Anton Property (Goldcorp 36%), which hosts the near-surface Cerro del Gallo gold-silver-copper deposit. The Property is located in a historic gold-silver mining district and has only recently been subjected to modern exploration techniques. This work quickly identified several targets and has led to the delineation of a NI 43-101 Measured & Indicated Mineral Resource of 461 million tonnes grading 0.27g/t gold (3.9Moz), 11g/t silver (163Moz) and 0.11% copper (1.09Blb) and an Inferred Mineral Resource of 166 million tonnes grading 0.11g/t gold (0.6Moz), 7 g/t silver (39Moz) and 0.10% copper (0.36Blb). Within the overall deposit, there is a 'gold domain zone' containing Measured & Indicated Mineral Resource of 209 million tonnes grading 0.48g/t gold (3.2Moz) and 11g/t silver (71Moz) and within this zone, there is a relatively higher grade gold resource defined at surface. The deposit remains open in several directions. On March 2, 2010, San Anton announced a highly encouraging US$259 million net free cash flow, US$415/oz production cost 'base case' scoping study finding for the Cerro del Gallo project. On July 30, 2010, San Anton announced the completion of a rights offering under which it issued 22,080,351 common shares at a price of $0.15 per share for gross proceeds to the Company of $3,312,052.
This News Release includes certain 'forward-looking statements'. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of San Anton are forward-looking statements that 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. Important factors that could cause actual results to differ materially from the expectations of San Anton are detailed from time to time in the filings made by San Anton with securities regulators.
The Toronto Stock Exchange has neither approved nor disapproved the contents of this press release.
Contacts:
San Anton Resource Corporation
John Cook
President & CEO
(416) 987-0856
johncook@kos.net
San Anton Resource Corporation
Christian Del Valle
Manager, Corporate Development
(416) 987-0856
cdelvalle@sanantonresourcecorp.com
www.sanantonresourcecorp.com