| TORONTO, ONTARIO–(Marketwired – June 9, 2016) – Rupert Resources Ltd. (“Rupert” or the “Corporation”) (TSX VENTURE:RUP) announces that it will launch its inaugural drill program next week on the permitted Pahtavaara gold mine, located in Northern Finland, that it has optioned for the six month period ending September 15, 2016 (see the Corporation’s March 17, 2016 press release). This drilling program will seek to expand reserves and resources at the mine’s open pit and underground targets, centering on the Karolina orebody discovered before the mine ceased its operations in 2014.
“The exploration potential at Pahtavaara is an excellent challenge for our exploration team and if successful can permit the mine to return to production as a low cost producer of gold. The abundance of targets close to production infrastructure inside Pahtavaara’s 124 square kilometer land position offers the possibility for significant growth for Rupert Resources,” commented Brian Hinchcliffe, President and CEO of Rupert. “As the company steps up its corporate activity, we are pleased to have Susan Milton join the Board.” Susan Milton has been appointed as a Non-Executive Director and to the Audit Committee of the Corporation. Susan has two decades of experience as an investor and investment advisor with a focus on the mining sector. Ms. Milton began her career at Moss Lawson & Co before continuing at Richardson Greenshields & Sons, RBC Dominion Securities, Ocean Equities and Macquarie Private Wealth. Ms. Milton holds an MBA with a specialization in Financial Management & Markets from Arizona State University. |
Rupert Resources Ltd. (“Rupert” or the “Corporation”) (TSX Venture Exchange: RUP)announces the resignation of Martin Kostuik as President and CEO of the Corporation and the appointment of Brian Hinchcliffe, a current director of the Corporation, as President and Chief Executive Officer of Rupert, effective immediately. Mr. Kostuik will remain as a director of the Corporation.
“There are the exciting exploration and production opportunities of scale at the Pahtavaara gold mine and land position in Finland, which one likes to see when starting this new direction for Rupert, and we are pleased to have Martin’s continued contribution as a director”, said Brian Hinchcliffe, Rupert’s new President and CEO. “Rupert’s shareholders have benefited from Mr. Kostuik’s efforts, including the 21 year lease renewal on the Gold Centre property located in the strategic and high grade Red Lake gold mining camp in Ontario, that Mr. Kostuik engineered. Lastly we are pleased to incentivize the new management team as we commence the work required to determine if the company will exercise its six month option on the Pahtavaara gold mine, as announced in our March 17, 2016 press release.”
Mr. Hinchcliffe has extensive experience in the mining sector, most recently co-founding Kirkland Lake Gold Inc. and Rambler Metals & Mining PLC, both of which acquired mines that were closed and with successful exploration campaigns, developed producing operations.
The Corporation also announces the grant of incentive stock options to acquire a total of 3,740,000 common shares (“Common Shares”) of the Corporation at an exercise price of $0.175 per share, such options to vest as to one-half on March 24, 2017 and one-half on March 24, 2018. The options expire five years from the date of grant. Options to acquire 1,440,000 Common Shares were granted to directors and officers of the Corporation and options to acquire 2,300,000 Common Shares were granted to employees and consultants of the Corporation.
For further information, please contact:
Brian Hinchcliffe
President and Chief Executive Officer
Tel. +1 (914) 815 2773
Rupert announced on March 15, 2016 that it had signed effective that date a six month option agreement to acquire the permitted, Pahtavaara gold mine in Lapland, Finland. The purchase price of the acquisition is US $2,500,000 structured as a US $500,000 payment upon the exercise of the option (less two small US$50,000 payments upon signing and at the three month mark) and a $2,000,000 production royalty of 1.5% payable when gold production resumes. In addition, if the purchase option is exercised, Rupert must fund the environmental bond which is currently Euros 560,000.
The Pahtavaara mine is located in the Central Lapland gold belt and has been in production for 15 out of the last twenty years , with its first year of production in 1995. The mine was originally an open pit operation and then became a ramp underground mine producing 35,000 in one year at its highest production level . The mill capacity is over 1,000 of ore a day.
