Galane Gold Ltd. Announces Engagement of Investor Relations Advisor
June 17, 2014
TORONTO, Jun. 17, 2014 /CNW/ - Galane Gold Ltd. ("Galane Gold" or the "Company") (TSX VENTURE:GG) is pleased to announce the engagement ofPalisade Capital Corp. ("Palisade") as its investor relations advisor. Palisade is a consulting services company headquartered in London, UK. Palisade offers strategic consulting services to public and private companies looking to expand their corporate footprints and attract new international investors. From marketing road shows to full-service investor relations and promotional video campaigns, Palisade utilizes innovative strategies and techniques to drive broader investor awareness, increased liquidity and higher valuations for its clients.
Pursuant to the agreement between the Company and Palisade (the "Agreement"), Palisade will provide investor relations services to the Company for an initial 12 month period, commencing immediately. The Company will pay a fee of $100,800, $8,400 per month of the initial period. The Company will also reimburse Palisade for its expenses. In addition, the Company has agreed to grant to Palisade options to purchase up to 300,000 common shares of the Company, exercisable at a price of $0.21 per share until June 17, 2016. The appointment of Palisade is subject to the approval of the TSX Venture Exchange. The Agreement has an initial term of twelve months which can be terminated by the Company at any time. Prior to the issuance of the above-noted options, Palisade had no direct or indirect interest in the Company or its securities, or any right or intent to acquire such an interest.
The Company also announces that it has granted 3,942,228 deferred share units ("DSUs") to a total of 17 directors, officers and employees of the Company. Under the terms of the Company's deferred share unit plan (the "DSU Plan"), which was approved by shareholders on June 3, 2014, all DSUs granted to senior officers and directors vest in five equal instalments on the first, second, third, fourth and fifth anniversary of the award date. Other DSU grants have vesting periods consistent with the duration of employee contracts. Holders of DSUs may redeem each vested DSU for one common share upon retirement from the Company and in certain other circumstances. The full text of the DSU Plan is set out in the Company's management information circular dated May 2, 2014which is filed under the Company's SEDAR profile at www.sedar.com. The DSU Plan is intended to enhance the Company's ability to attract and retain talented individuals to serve as directors, officers and employees by allowing such individuals to participate in the long-term success of the Company and to promote a greater alignment of interests between such individuals and the shareholders of the Company.
Ravi Sood, Galane Gold's CEO, stated, "We are excited to bring Palisade on board as part of our investor relations strategy. We believe our shares represent a compelling investment opportunity and are focused on increasing the awareness and understanding of our company. We have made excellent progress at Mupane, having reduced costs, increased mine life, and added an underground mine to our sources of ore. Most important, we have assembled an outstanding team capable of making further improvements at Mupane and affecting similar changes at other operations. We believe the broad-based DSU grant is an excellent long-term incentive programme that will further align management at all levels with shareholders and cement the stability of our exceptional management team."
About Galane Gold
Galane Gold is an un-hedged gold producer and explorer with mining operations and exploration tenements in Botswana. Galane Gold is a public company and its shares are quoted on the TSX Venture Exchange and the Botswana Stock Exchange under the symbol GG. Galane Gold's management team is comprised of senior mining professionals with extensive experience in managing mining and processing operations and large-scale exploration programmes. Galane Gold is committed to operating at world-class standards and is focused on the safety of its employees, respecting the environment, and contributing to the communities in which it operates.
Cautionary Notes
Certain statements contained in this press release constitute "forward-looking statements". All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the Company's objectives, goals and targets, and any statements preceded by, followed by or that include the words "believe", "expect", "aim", "intend", "plan", "continue", "will", "may", "would", "anticipate", "estimate", "forecast", "predict", "project", "seek", "should" or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company's expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements.
Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to: the Company's dependence on a single mineral project; gold price volatility; risks associated with the conduct of the Company's mining activities in Botswana; regulatory, consent or permitting delays; risks relating to the Company's exploration, development and mining activities being situated in a single country; risks relating to reliance on the Company's management team and outside contractors; risks regarding mineral resources and reserves; the Company's inability to obtain insurance to cover all risks, on a commercially reasonable basis or at all; currency fluctuations; risks regarding the failure to generate sufficient cash flow from operations; risks relating to project financing and equity issuances; risks arising from the Company's fair value estimates with respect to the carrying amount of mineral interests; mining tax regimes; risks arising from holding derivative instruments; the Company's need to replace reserves depleted by production; risks and unknowns inherent in all mining projects, including the inaccuracy of reserves and resources, metallurgical recoveries and capital and operating costs of such projects; contests over title to properties, particularly title to undeveloped properties; laws and regulations governing the environment, health and safety; operating or technical difficulties in connection with mining or development activities; lack of infrastructure; employee relations, labour unrest or unavailability; health risks in Africa; the Company's interactions with surrounding communities and artisanal miners; the Company's ability to successfully integrate acquired assets; the speculative nature of exploration and development, including the risks of diminishing quantities or grades of reserves; development of the Company's exploration properties into commercially viable mines; stock market volatility; conflicts of interest among certain directors and officers; lack of liquidity for shareholders of the Company; risks related to the market perception of junior gold companies and litigation risk.
Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.
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.