INDIALANTIC, FL (August 22, 2013)) - Spartan Gold Ltd. ("Spartan") (
Sphere Resources Inc. ("the Company"), listed on the NEX Board of the TSX Venture Exchange (NEX - SPH.H) (
The Company announces the signing of an Engagement Agreement with Wedgewood Investment Group LLC ("WIG") for the offering of up to $10.0 million of five year senior secured debt instrument through a private placement being marketed to private clients in the Americas, Europe and Asia. WIG of New York is advising the Company on this placement.
The Company anticipates completing the placement over the next few weeks. Funds raised will be used to carry out drilling programs on both the Canadian and US properties in which the Company has interests. The injection of new capital will also provide working capital for the Company and its 52% owned affiliate, Spartan Gold Ltd. (OTCBB:SPAG).
The senior secured bonds (the "Bonds") will be sold in minimum increments of $100,000 at open market discounts from the principal amount of the Bond. The Bonds will pay interest at a rate of Six and one half percent (6.5%) per annum with interest payable each November 15th and May 15th. The first interest payment will be made on November 15, 2013, for interest accrued from the date of the issuance of the Bonds. The Company will retain the right to redeem part or all of the Bonds at face value plus accrued interest to date at any time.
The Bonds offered are secured by the value of the Corporation, its assets, value of its leases, options, equipment and good will. The Bonds will be senior in right of payment to all of secured indebtedness of the Company. The Bonds will be redeemable in whole or in part, at the Company's option at any time.
Malcolm L Stevens, Executive Chairman and CEO of Spartan Gold Ltd commented: "We are very pleased that Sphere is raising funds for Spartan to continue its exploration campaign in the Carlin-Rain and Round Mountain-Northumberland Gold Trends in Nevada. Spartan's Poker Flats prospect is located in the southern Carlin region and the Ziggurat project is located in the Round Mountain-Northumberland mining district. As most juniors are clamping down on exploration expenses we are focusing on going full steam ahead in our plans to maximize shareholder value and make the market aware of our strategic plans. This should elevate the Company to a new level in respect of its industry peers."
About Sphere Resources Inc
Sphere Resources Inc. is focused on identifying and appropriating exploration targets and other high quality assets in major global mining camps with a particular emphasis on precious metals. It is currently involved in exploring for gold mineralization in the Red Lake District of Ontario and in Nevada, USA on the Carlin Trend.
DISCLAIMER
Forward-Looking Statements: Except for statements of historical fact, this news release contains certain "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995, including, without limitation expectations, beliefs, plans and objectives regarding the development, use and marketability of products. Such forward-looking statements are based on present circumstances and on Spartan Gold Ltd. predictions with respect to events that have not occurred, that may not occur, or that may occur with different consequences and timing than those now assumed or anticipated. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, and are not guarantees of future performance or results and involve risks and uncertainties that could cause actual events or results to differ materially from the events or results expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, changes in metal prices, the ability to successfully fund any exploration activities, consumer and business consumption habits, the ability to fund operations and other factors over which Spartan Gold Ltd. has little or no control. Such forward-looking statements are made only as of the date of this release, and Spartan Gold Ltd. assumes no obligation to update forward-looking statements to reflect subsequent events or circumstances. Readers should not place undue reliance on these forward-looking statements. Risks, uncertainties and other factors are discussed in Spartan Gold Ltd. Form 10-K for its fiscal year ended December 31, and other documents filed from time to time by Spartan Gold Ltd. with the Securities and Exchange Commission.
For more information about Spartan Gold Ltd.:
See our website www.spartangoldltd.com
About Spartan Gold Ltd
Spartan Gold Ltd. (OTCMKTS:SPAG) is a publicly traded U.S. based junior gold exploration company with gold exploration and development activity centered in both the Carlin-Rain and Round Mountain-Northumberland Gold Trends in Nevada. Spartan's Poker Flats prospect is located in the southern Carlin region and the Ziggurat project is located in the Round Mountain-Northumberland mining district.
Initially, the Poker Flats prospect consists of 64 lode claims and private land and mineral rights for a total of 3,040 acres, and holds an option for 75% majority ownership of this project in the southern Carlin Trend, which is home to some of the world's leaders in the mining industry. Neighboring mining projects north and west of Poker Flats include Newmont Mining Corporation, Premier Gold Mines Limited and Gold Standard Ventures Corporation.
Spartan also has the Ziggurat prospect in Nye County, Nevada, which comprises one contiguous block of 227 lode claims and a total land area of 4540 acres. The Company holds an option for 75% majority ownership of this project.
The Company is currently pursuing opportunities for several acquisition targets in North America and focusing on exploration plans for current projects. Spartan has selected an international board of directors and advisors with over 90 years of combined experience in the exploration and development of global mining projects. Spartan's commitment to asset growth and increased shareholder value will be sustained by the development of highly prospective projects, accelerated exploration activities and the acquisition of viable resources.
Contact
Corporate Office:Malcolm L Stevens
Executive Chairman and CEO
122 Fourth Ave., Suite 103
Indialantic, FL 32903, Florida,
United States of America
Office: (480) 4771585
Cell: (623) 2077784
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