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Shares Issued: 88,647,878
Wolfden Resources Inc. (TSX:WLF) is pleased to announce that it has completed the Lupin transaction with Kinross Gold Corporation (TSX:K) (NYSE:KGC). Wolfden is now the 100% owner of the historic Lupin Mine that is strategically located proximal to several of Wolfden’s core projects in Nunavut, Canada.
As has been previously announced, Wolfden entered into an agreement with Kinross on June 16 2006 to acquire the Lupin Mine, subject to certain terms and conditions. The final outstanding condition, the posting of a reclamation bond in the amount of C$25.5 million to the appropriate government entity in Nunavut, has now been completed. This bond has now been posted. A Canadian Schedule I Bank assisted Wolfden by providing a C$30 million non-revolving term facility. The secured facility contains certain terms and conditions, including among others (1) the requirement that any outstanding letters of credit under the facility be cash collateralized within 6 months of the date of the facility, (2) restrictive covenants including in respect of acquisitions, mandatory application of any financing proceeds and restrictions on exploration and capital expenses and (3) specifying events of default in certain circumstances, including a change of control. |