VANCOUVER, Jan. 21, 2014 /PRNewswire/ - American CuMo Mining
Corporation ("CuMoCo" or the "Company") (TSXV: MLY; OTCQX:
MLYCF) announces recent changes to its management team and that
the Company and IEMR Resources Inc. ("IEMR") have amended (the
"Amendment") the option agreement dated January 26, 2010, as amended (the "Option
Agreement"), with respect to the Pine Tree Copper-Molybdenum
Property in Nevada (the "Pine Tree
Property") pursuant to which IEMR was granted the option (the
"Option") to earn a 100% interest, subject to an underlying net
smelter returns royalty (the "Underlying NSR"), in the Pine Tree
Property.
Management Changes
The Board of Directors of the Company have
resolved to undertake a search for a new President/ Chief Executive
Officer. Hongxue Fu, formerly
the Company's executive Chairman and President, has been appointed
executive Chairman; Shaun
Dykes, formerly the Company's interim Chief Executive
Officer, has been appointed Chief Operating Officer and
Charles Yuen, recently elected a
director of the Company, has been appointed as Executive
Vice-President. Messrs Dykes and Yuen will be responsible for
managing the day-to-day operations of the Company until the new
President and Chief Executive Officer has been appointed. The
Board has also appointed an Audit Committee comprised of
Joseph Baird, John Moeller, Charles
Yuen and recently-elected director Yiming Xie.
Amendment to Pine Tree Option
Agreement
Prior to the Amendment, IEMR had: (a) made all
cash payments due under the Option Agreement to the Company except
the final US$200,000 cash payment due
on or before June 25, 2014 (the
"Final Cash Payment"); (b) issued a total of 4 million common
shares of IEMR (the "Issued Shares") to the Company pursuant to the
Option Agreement and was to issue an additional 1 million common
shares (the "Final Share Instalment") to the Company on or before
June 25, 2014; and (c) incurred the
amount of exploration expenditures on the Pine Tree Property
required to exercise the Option.
Pursuant to the Amendment, the parties agreed to
amend the Option Agreement to cause IEMR to pay the Company the
Final Cash Payment immediately on the following terms: (a) that the
size of the Final Cash Payment be reduced to US$185,000 (the "Amended Payment"); that IEMR not
be required to issue the Final Share Instalment to the Company; and
that the Company return the Issued Shares to IEMR for
cancellation.
The Company confirms receipt of the Amended
Payment from IEMR, and as such, IEMR has earned a 100% interest in
the Pine Tree Property, subject to the Underlying NSR.
About CuMoCo
CuMoCo is focused on advancing its CuMo Project
towards feasibility and establishing itself as one of the largest
and lowest-cost molybdenum producers in the world as well as a
significant producer of copper and silver. Management is continuing
to build a strong foundation from which to move the Company and the
CuMo Project forward.
On behalf of the Board of Directors
of
American CuMo Mining Corporation
Shaun
Dykes
Chief Operating Officer
Neither the TSX Venture Exchange nor its
Regulation Service Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this new release.
Forward-looking information
This news release contains "forward-looking
information" within the meaning of applicable Canadian securities
legislation including, but not limited to, statements that address
activities, events or developments that the Company expects or
anticipates will or may occur in the future, such the Company's
ability to move its CuMo Project to feasibility and production, and
to become one of the largest and lowest-cost molybdenum producers
in the world as well as a significant producer of copper and
silver. Forward-looking information is based on a number of
material factors and assumptions, including the result of
exploration activities, the ability of the Company to raise the
financing for a feasibility study and to put the CuMo project into
production, that no labour shortages or delays are experienced,
that plant and equipment function as specified that the Court will
not intervene with the Company's proposed exploration activities at
the CuMo Project, and the ability of the Company to obtain all
requisite permits and licenses to advance the CuMo Project and
eventually bring it into production. Forward-looking information
involves known and unknown risks, future events, conditions,
uncertainties and other factors which may cause the actual results,
performance or achievements to be materially different from any
future prediction, projection or forecast expressed or implied by
the forward-looking information. Such factors include, among
others, the interpretation and actual results of current
exploration activities; changes in project parameters as plans
continue to be refined; future prices of molybdenum, silver and
copper; possible variations in grade or recovery rates; labour
disputes and other risks of the mining industry; delays in
obtaining governmental approvals or financing, as well as those
factors disclosed in the Company's publicly filed documents,
including the Company's Management's Discussion and Analysis for
the period ended September 30,
2013. There may be other factors that cause actions,
events or results not to be as anticipated, estimated or intended.
There can be no assurance that forward-looking information will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on
forward-looking information. Except as required under applicable
securities legislation, the Company undertakes no obligation to
publicly update or revise forward-looking information.
SOURCE American Cumo Mining Corporation