Calais Resources Update
March 29 2012 - 7:59AM
Business Wire
CALAIS RESOURCES, INC. (“Calais” or the “Company”)
(Pink Sheets: CAAUF), reports that on March 23, 2012, the
Company received a default notice dated March 22, 2012 from Brigus
Gold Corporation (“Brigus”) pursuant to (i) the Forbearance
Agreement dated January 15, 2011, (ii) the Extension Agreement
dated June 8, 2011, and (iii) the Promissory Notes referenced in
the Forbearance Agreement and Extension Agreement. The Promissory
Notes are secured by the registrant’s Colorado assets. Brigus has
demanded payment of all principal, interest and fees, which total
US$10,825,952, by 5:00 p.m. (Halifax, Nova Scotia time) on March
29, 2012. The Company is uncertain of the outcome at this time.
David K. Young, the Company’s President and COO, stated,
“Management and the Board feel that it is in the best interest of
Calais shareholders and the local community to continue to seek
financing sources to satisfy the Brigus debt. While we cannot
guarantee that we will secure adequate financing, we have been
working with several potential sources of financing and are
optimistic that we will secure financing that will allow Calais to
eliminate the Brigus debt, advance the development of the Cross
Mine and provide value to its shareholders. I’d like to take this
opportunity to thank our loyal shareholders, our valued vendors,
and our dedicated employees. Calais Resources is committed to
continue to operate our company and gold and silver mining
operations in a professional and businesslike manner using best
management practices for the benefit of our shareholders and
employees.”
About Calais
Calais Resources is a mining company in the exploration stage
which owns and operates the Cross and Caribou gold and silver mine
operations in Colorado and the White Caps gold mine operation in
Manhattan, Nevada. The Company has reopened the fully permitted
Cross Mine, which includes resuming underground exploration and
preliminary production activities in Colorado and surface
exploration in Nevada. A test mining and processing program has
been implemented at the Cross Mine. The Calais mining operations
are fully compliant with all permitting and Mine Safety and Health
Administration (MSHA) requirements. Calais’ common stock is
currently quoted on the over the counter market under the symbol
CAAUF.
NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain statements contained herein and subsequent oral
statements made by and on the behalf of the Company may contain
“forward-looking statements.” Such forward-looking statements may
be identified by words such as “intends,” “anticipates,”
“believes,” “expects,” and “hopes” and include, without limitation,
statements regarding the Company's ability to obtain adequate
financing to repay the Brigus loan and advance development of the
Cross Mine. Factors that could cause actual results to differ
materially include, among others, those set forth in the Company's
Annual Report on Form 10-K for the fiscal year ended May 31, 2011
and other filings with the Securities Exchange Commission (SEC) and
SEDAR under the caption of “Risk Factors.” Many of these factors
are outside the control of the Company. Investors are cautioned not
to put undue reliance on forward-looking statements, except as
otherwise required by applicable securities statutes or
regulations.