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North American Gem Inc. Enters Loan Agreement

15.05.2012  |  Marketwire

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 05/15/12 -- North American Gem Inc. (TSX VENTURE: NAG) (NAG) reports that it has arranged a loan from arm's length parties in the principal amount of $250,000 (the "Loan") pursuant to promissory notes (the "Notes") to be issued to the Lender as security for the Loan.


The Loan will bear interest at 1% per month on the principal amount and will be used for working capital of the Company until the closing of a financing can be completed to repay the Loan.


In consideration of the Loan, the Company has agreed to issue to the lenders 250,000 common shares of the Company as bonus shares (the "Bonus Shares") to be received on or before the 10th day following the acceptance of the TSX Venture Exchange.


The Loan, Notes and issuance of the Bonus Shares are subject to the acceptance of the TSX Venture Exchange.


North American Gem Inc. (TSX VENTURE: NAG) is a Junior Exploration Company based in Western Canada. The Company currently holds certain coal assets in North America. In addition to Coal exploration, the Company also has interests in Uranium, Copper, Gold, Molybdenum and other base metals in Canada.


On Behalf of the Board of Directors


NORTH AMERICAN GEM INC.


Charles Desjardins, President and Director


Cautionary note:


This report contains forward-looking statements. Resource estimates, unless specifically noted, are considered speculative. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. The production rate and mine-life projections have been made without support of a feasibility study, there is no certainty the proposed operations will be economically viable. By their nature, forward-looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.


"Neither the 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."

Contacts:

North American Gem Inc.

Charles Desjardins

President and Director

604-683-5445

604-687-9631 (FAX)
info@northamericangem.com
www.northamericangem.com


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