Graniz Mondal Inc. Enters Into Option Agreement With Nightstar Resources Inc.
June 30 2011 - 9:52AM
Marketwired
Graniz Mondal Inc. ("Graniz") (TSX VENTURE: GRA.H) announces that
it has entered into an option agreement ("Agreement") with
Nightstar Resources Inc. ("Nightstar"). Pursuant to the Agreement,
Nightstar will grant to Graniz the option (the "Option") to acquire
a 60% undivided interest in a property owned by Nightstar in
LaRonge, Saskatchewan (the "Property").
The Agreement
The Agreement provides that in order to exercise the Option and
acquire the 60% interest in the Property, Graniz must make the
following payments and complete all of the following
transactions:
a. pay to Nightstar the following cash amounts, on and not before the
following dates:
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Date Cash Amount
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June 30, 2012 $200,000
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June 30, 2013 $200,000
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June 30, 2014 $300,000
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b. complete an equity financing of $1,000,000 within 60 days from June 30,
2011;
c. graduate to Tier 2 of the TSX Venture Exchange within 60 days from June
30, 2011;
d. appoint a nominee of Nightstar to replace a current member of the board
of Graniz within 60 days from June 30, 2011; and
e. acquire additional mining claims in Canada, acceptable to Nightstar,
within 60 days from June 30, 2011.
Pursuant to the Agreement, Graniz has the right to terminate the
Option at any time and thereafter, Nightstar shall have no further
or other rights and obligations under the Agreement. Nightstar may
only terminate the Agreement if Graniz fails to comply with one or
more of items (a) to (e).
Graniz is working to satisfy items (b) to (e) and will issue
subsequent press releases as more information regarding those items
becomes available.
The Property
The Property is located 30-kilometers north-northwest of the
community of La Ronge, Saskatchewan which is situated on the
northwest shore of Lac La Ronge. The Property consists of three
staked mining claims; CBS 7831, S110914 and S110915, tolling
8,375-hectares. CBS 7831, which is approximately 60-hectares in
size, has been active for over 41-years in one configuration or
another. All three claims are registered with the Mining Recorder's
office in La Ronge, Saskatchewan and currently 100% owned by
Nightstar, subject to a 1.5% net smelter return royalty on claim
number CBS 7831 in favour of Mr. Walter Shupe, the original vendor
of that particular claim.
The 43-101 Report
A technical report has been prepared in respect of the Property
for Nightstar and Graniz by Walter Hanych, P.Geo. in compliance
with National Instrument 43-101 (the "Report"). Graniz plans to
file the Report with the TSX Venture Exchange for their review.
The Report notes that in 2008 a high resolution airborne VTEM
survey was completed over the entire Property and the data from
this survey was interpreted by Scott Hogg and Associates Ltd.
resulting in the recognition of 16-EM-Mag anomalies warranting
further investigation.
The Report recommends a two-phase follow up program. The first
phase involves the construction of a digital data base,
compilations, and field anomaly screening and is estimated to cost
$350,000. The second phase would be contingent upon the results of
phase 1 and would entail 2,000-meters of diamond drilling estimated
to cost $860,000. The aggregate total incorporating the two phases
is $1,210,000.
Reactivation
It is intended that entering into the Agreement and completing
the $1,000,000 equity financing will permit Graniz to be
"Reactivated" pursuant to the TSX Venture Exchange Policy 2.6 and
graduate to Tier 2 of the TSX Venture Exchange as a mining issuer.
Graniz is in discussions with the TSX Venture Exchange in this
regard.
Trading Halt
Trading of Graniz shares has been halted at Graniz's request
while Graniz seeks to graduate to Tier 2 of the TSX Venture
Exchange.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) has passed upon the merits of the Agreement or
any transaction contemplated thereby nor accepts responsibility for
the adequacy or accuracy of this release. No stock exchange,
securities commission or other regulatory authority has approved or
disapproved the information contained herein. The foregoing
information may contain forward-looking statements relating to the
future performance of Graniz Mondal Inc. Forward-looking
statements, specifically those concerning future performance, are
subject to certain risks and uncertainties, and actual results may
differ materially from Graniz's plans and expectations. These
plans, expectations, risks and uncertainties are detailed herein
and from time to time in the filings made by Graniz with the TSX
Venture Exchange/NEX and securities regulators. Graniz does not
assume any obligation to update or revise its forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by law.
Contacts: Graniz Mondal Inc. Richard-Marc Lacasse President
(418) 564-8834