Pacific Wildcat Resources Corp (PWCRF)

[Rocketred]

Rusoro promised Venezuela will cough up $1.28B (U.S.)

2018-10-19 17:48 ET - News Release
Shares issued 544,770,623
RML Close 2018-10-19 C$ 0.29


Mr. Gordon Keep reports

RUSORO MINING EXECUTES SETTLEMENT AGREEMENT WITH BOLIVARIAN REPUBLIC OF VENEZUELA

Rusoro Mining Ltd. has executed a settlement agreement with the Bolivarian Republic of Venezuela by which Venezuela agrees to pay Rusoro over $1.28-billion (U.S.) to acquire the company's mining data and for full release of the arbitral award issued in favour of the company in August, 2016, by a tribunal constituted pursuant to the Additional Facility of the International Centre for Settlement of Investment Disputes.

The settlement agreement includes, among other terms:

•Venezuela has agreed to pay the company an initial payment of $100-million (U.S.) in November, 2018. Upon completion of that initial payment, the company will suspend the legal enforcement of the award and deliver the company's mining data to Venezuela.


• Venezuela has agreed to pay the balance of the amounts due under the settlement agreement in monthly instalments over five years, starting in January, 2019.


• Upon the final and full payment of the settlement agreement, the company will cease all legal activities related to the collection of the award.


• The company may resume the legal enforcement of the award if any payment due under the settlement agreement is not received by the company within the periods provided in the settlement agreement. The company may also terminate the settlement agreement in certain scenarios if Venezuela defaults on its obligations.


• Venezuela retains the right to continue the proceedings to set aside the award at the seat of the arbitration in Paris. If the award were set aside, Rusoro will retain any payments made until that date as consideration for the termination of its mining rights and acquisition of its mining data.


•In addition, the parties will constitute a mixed commission to evaluate the status of Rusoro's former projects and determine if the parties should proceed with a joint venture.


"The signing of this agreement represents a significant milestone in our continued relationship with Venezuela and we are excited for the company and its shareholders to begin this new chapter," commented Vladimir Agapov, chairman of Rusoro.