Alamos Gold Completes Settlement With Primero Mining
TORONTO, ONTARIO -- (Marketwire) -- 08/17/10 -- (All amounts are expressed in Canadian dollars, unless otherwise stated)
Alamos Gold Inc. (TSX: AGI) ('Alamos' or the 'Company') announces that it has completed a settlement agreement with Primero Mining Corp. (formerly Mala Noche Resources Corp.) ('Primero') with respect to the assertion made by Alamos as announced in Primero's press release dated June 18, 2010. In entering into the settlement agreement, neither Primero nor any of its officers or directors has admitted any liability to Alamos.
In consideration for relinquishing any claim to the San Dimas mines, Primero has paid Alamos $1.0 million in cash plus 2 million common shares and 800,000 common share purchase warrants, for total consideration valued at $13.0 million under the terms of the settlement agreement.
About Alamos
Alamos is an established Canadian-based gold producer that owns and operates the Mulatos Mine in Mexico, and has exploration and development activities in Mexico and Turkey. The Company employs nearly 500 people in Mexico and Turkey and is committed to the highest standards of environmental management, social responsibility, and health and safety for its employees and neighbouring communities. Alamos has over US$170 million cash on hand, is debt-free, and unhedged to the price of gold. Alamos' common shares are traded on the Toronto Stock Exchange under the symbol 'AGI'.
The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Contacts:
Alamos Gold Inc.
John A. McCluskey
President and Chief Executive Officer
(416) 368-9932
Alamos Gold Inc.
Jeremy Link
Investor Relations Manager
(416) 368-9932