Toronto, Ontario – Atlanta Gold Inc. (TSXV: ATG; OTC Pink: ATLDF) (the "Company") provides this bi-weekly update in accordance with National Policy 12-203 - Cease Trade Orders for Continuous Disclosure Defaults (“NP 12-203”).
On April 29, 2015, the Company announced (the “Default Notice”) that, for reasons disclosed in the Default Announcement, it would be unable to file its 2014 annual audited financial statements, and its related Management's Discussion and Analysis, and Chief Executive Officer and Chief Financial Officer certifications (collectively, the "Required Filings"), which were required to be filed on or before April 30, 2015.
On May 8, 2015, the Company announced that the Ontario Securities Commission has issued a temporary management cease trade order (the “MCTO”), which restricts all trading in securities of the Company, whether direct or indirect, by the Company’s Chief Executive Officer and Chief Financial Officer until two full business days following receipt by the OSC of the Required Filings. This order is a result of the Company’s application for a MCTO for the delay in filing the Required Filings. The MCTO does not affect the ability of shareholders who are not insiders of the Company to trade their securities. However, the applicable Canadian securities regulatory authorities could determine, in their discretion, that it would be appropriate to issue a general cease trade order against the Company affecting all of the securities of the Company.
On May 12, 2015, the Company announced the closing of a financing of a Senior Secured Note in the principal amount of US$600,000 to Concept Capital Management Ltd. The Company used a portion of the proceeds from the issuance of the Senior Secured Notes to remunerate its auditors for their services. The auditors have recommenced the 2014 audit work and it is anticipated that the audit will be completed and the Company will be able to file the Required Filings prior to the end of May.
Pursuant to the provisions of the alternative information guidelines specified in Section 4.4 of NP 12-203, the Company reports that since the Default Announcement:
- There have been no material changes to the information contained in the Default Announcement, other than referred to in this news release;
- There have been no failures by the Company to fulfill its stated intentions with respect to satisfying the provisions of the alternative reporting guidelines;
- There has not been, nor is there anticipated to be, any specified default subsequent to the default which is the subject of the Default Announcement; and
- There is no other material information respecting the Company's affairs that has not been generally disclosed.
Until the Required Filings have been filed, the Company intends to continue to satisfy the provisions of the alternative information guidelines found in Section 4.3 and 4.4 of NP 12-203 by issuing bi-weekly default status reports in the form of further news releases, which will also be filed on SEDAR.
About the Company
Atlanta Gold Inc. holds through its 100% owned subsidiary, Atlanta Gold Corporation, leases, options or ownership interests in its Atlanta properties which comprise approximately 2,159 acres (8.74 square kilometres) located 90 air kilometers east of Boise, in Elmore County, Idaho. A long history of mining makes Atlanta very suitable for development of new mining projects. The Company is focused on advancing its core asset, Atlanta, towards mine development and production.
The Company is also focused on advancing its exploration and processing methods on the Neal Property, which is located approximately 15 miles from Boise, Idaho and comprises approximately 192 acres (0.78 square kilometres). The Neal Property’s geology is similar to that of the Atlanta Project and it provides the Company with all-season access to further refine the processing equipment and procedures. In June 2014, Knife River assigned certain of its rights and obligations under its lease with the owner of the Neal Property to AGC. AGC staked an additional seven contiguous claims on public land that was open to mineral entry.
This news release contains forward-looking information and forward-looking statements (collectively “forward-looking statements”) within the meaning of applicable securities laws with respect to the completion of the filing of its annual financial statements and related documentation. Such are based upon various assumptions and other factors that management believes to be reasonable, including that the Company will reach agreement with potential investors on a timely basis. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results to differ materially from those expressed or implied by the forward-looking statements. Risks and uncertainties that may cause actual results to vary include the ability to conclude in a timely manner a financing on terms acceptable to the Company; fluctuations in the gold price and currency exchange rates; changes in general economic conditions and in the financial markets; as well as other risks and uncertainties which are more fully described in the Company’s annual and interim management’s discussion and analysis and other filings by the Company with the securities regulatory authorities, which are available under the Company’s profile at www.sedar.com. Should one or more risks and uncertainties materialize or should any assumptions prove incorrect, then actual results could vary materially from those expressed or implied by the forward-looking statements and accordingly, readers should not place undue reliance on the forward-looking statements. Readers are cautioned that the foregoing lists of risks, uncertainties, assumptions and other factors are not exhaustive. The forward-looking statements contained herein are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements contained herein or in any other documents filed with securities regulatory authorities, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.
For further information contact:
Atlanta Gold Inc.:
Wm. Ernest Simmons
President and CEO
Fax: (208) 338-6513
Atlanta Gold Inc.
Telephone: (416) 777-0013
Fax: (416) 777-0014
CHF Investor Relations
Catherine D. Hume
Chief Executive Officer
Telephone: (416) 868-1079
Fax: (416) 868-6198
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