Endurance Gold Corporation (EDG -- TSX.V, "Endurance") announced today that the Company has elected to participate in the Pardo Joint Venture ("JV") 2014 exploration program ("2014 Program") with Ginguro Exploration Inc. ("Ginguro"). As announced on May 5 2014, Endurance and Ginguro have agreed that, pending the resolution of the arbitration hearing, Endurance will initially participate at a "funding level" of 36.5% and Ginguro at 63.5% for the approved 2014 Program with a budget of $1.3 million.
In order to see the 2014 Program advance, the parties have agreed that:
- Endurance will have 120 days from the date of approval of the program to procure the funding required for its share of JV expenditures.
- no interest is payable on any cash calls from the operator until the 30 days after any agreement by the parties, or decision by the arbitrator as to the parties' respective JV interests.
- No penalty dilution provisions will be effective until December 31, 2014.
Ownership percentages at the time of the formation of the JV in 2012 were Ginguro 55% and Endurance 45%. The "funding level" agreed by the parties in order to facilitate the commencement of the 2014 Program does not reflect the parties' actual JV interests, which will be determined in the arbitration and, at that time, a reconciliation of the contributions will occur. While Endurance and Ginguro are currently in arbitration regarding the JV ownership percentages and some matters related to the JV operation, both parties recognize the importance of continuing exploration and not losing the upcoming field season.
As announced on May 5 2014, initial work on the JV will continue the program of prospecting, stripping and channel sampling started last year by Ginguro, which led to the high grade gold discoveries of the 007 and Eastern Reef Zones. The 2014 Program also includes geophysical assessment by ground penetrating radar of the sedimentary rocks associated with the gold bearing layers and a radon gas survey that will be used to search for buried high grade gold shoots similar to the 007 Zone. In addition, a study of the primary distribution of gold on the Pardo JV claims will be undertaken. It is anticipated that the study, which will include drilling of new boreholes as well as special large diameter holes, will establish the technical framework for future drilling to assist in defining any mineral resource.
Endurance is also pleased to announce that 66.69% of shareholders attended by proxy at the Annual General Meeting convened on May 30, 2014 with all resolutions approved, including 99.95% of disinterested shareholders voting in favour of two new control persons for the Company.
Endurance Gold Corporation is a company focused on the acquisition, exploration and development of highly prospective North American mineral properties with the potential to develop world-class deposits. The Company's exploration focus, for projects operated by Endurance, is intrusive-related mineral systems with potential for discovery of major new precious or rare metals deposits, and its business plan offers shareholders exposure to several majority-owned exploration projects with significant discovery potential such as the Elephant Gold Property in Alaska, the Rattlesnake Hills Gold Property in Wyoming, and the Bandito Rare Earth-Niobium Property in the Yukon. Please visit www.endurancegold.com.
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