TSX-V Trading Symbol: HRC
E-mail:
info@helioresource.com
Phone: +1 604 638 8005
Website: www.helioresource.com
VANCOUVER, Sept. 6, 2017 /CNW/ - Helio Resource Corp (TSX-V:
HRC), ("Helio" or the "Company") reports that, after careful
consideration, it has concluded that there is no proper basis for
Shanta Gold's purported termination
of the arrangement agreement between Shanta
Gold and the Company. Accordingly, the arrangement agreement
remains in effect and Helio expects Shanta
Gold to satisfy its obligations thereunder, including taking
all commercially reasonable actions required to complete the
transaction.
Richard Williams, Helio's CEO,
said "We strongly disagree with Shanta
Gold's assertion that the recent changes to Tanzania's mining laws amount to a material
adverse effect as defined in the arrangement agreement and reject
their opportunistic attempt to walk away from their obligations. We
believe that combining Shanta Gold
and Helio continues to make sense for both companies and are
disappointed that our partner in this transaction chose to take
this drastic step without any prior discussions."
Helio intends to vigorously enforce all of its rights under the
arrangement agreement and seek to consummate the merger on the
agreed terms.
About Helio Resource Corp.
Helio Resource Corp. is a resource company focused on advancing
the 100% owned SMP Gold Project in Tanzania to a production decision.
ON BEHALF OF THE BOARD OF DIRECTORS
"Richard D. Williams"
Richard D. Williams, P.Geo
Statements Regarding Forward-Looking
Information
Certain statements contained in this news release may contain
forward-looking information within the meaning of Canadian
securities laws. Such forward-looking information is identified by
words such as "anticipated", "estimates", "intends", "expected",
"believes", "may", "will" and include, without limitation,
statements regarding the steps that Company expects to take in
response to Shanta Gold's purported
termination of the arrangement agreement between Shanta Gold and the Company. There can be no
assurance that such statements will prove to be accurate; actual
results and future events could differ materially from such
statements. Factors that could cause actual results to differ
materially include, among others, metal prices, risks inherent in
the mining industry, financing risks, uncertainties regarding the
outcome of any litigation involving the Arrangement Agreement,
labour risks, uncertainty of mineral resource estimates, equipment
and supply risks, title disputes, regulatory risks and
environmental concerns. Most of these factors are outside the
control of the company. Investors are cautioned not to put undue
reliance on forward-looking information. Except as otherwise
required by applicable securities statutes or regulation, the
company expressly disclaims any intent or obligation to update
publicly forward-looking information, whether as a result of new
information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Helio Resource Corp.