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| | August 19, 2004
Shareholders approve purchase of Swamp Point.
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| | The Company is pleased to announce that its shareholders, at the Annual and Extraordinary Meeting held August 19, 2004, overwhelmingly approved the previously announced purchase of the Swamp Point project and related assets from 647680 B.C. Ltd. Over 95% of the shares voted with respect to the acquisition were voted in favour. As the acquisition constituted a "related party transaction", shares owned by certain officers and directors of the Company were not voted. The assets purchased from 647680 BC Ltd included: (i) a License of Occupation and Foreshore Tenure for the exploration and development of aggregate at Swamp Point in northwestern British Columbia, and, (ii) a purchase agreement between 647680 BC Ltd. and the underlying owners of the Swamp Point property.
The terms of the purchase require the Company to assume from 647680 B.C. Ltd. a shareholder loan in the amount of $1,309,586, which represents funds advanced to 647680 B.C. Ltd. from a shareholder and director of 647680 B.C. Ltd., and, a royalty in favour of 647680 B.C. Ltd., consisting of 5% of the revenue from aggregate products sold from the Swamp Point Project with respect to the first seven million tons removed and thereafter 8% of the revenue from such products. Under the Swamp Point Agreement to be assumed by the Company, a final option payment in the amount of $500,000 is due and payable on October 1, 2004.
Completion of the acquisition is subject to the approvals of the TSX Venture Exchange and the Crown.
The Company is pleased with the Swamp Point acquisition and will commence permitting and detailed planning activities immediately in anticipation of moving forward to construction in the last quarter of 2005.
ON BEHALF OF THE BOARD OF DIRECTORS OF
ASCOT RESOURCES LTD.
"Ken Carter", Director
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. |
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| | You can view the Next News item: Thu Oct 7, 2004, Company completes purchase of Swamp Point.
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