TORONTO, ONTARIO--(Dec. 23, 2009) - Sheltered Oak Resources Corp. ("OAK"), through its 100% owned subsidiary Sheltered Oak Resources Inc. and Sage Gold Inc. ("SAGE") (TSX VENTURE: SGX.V) announced today that further to an announcement on September 28, 2009, the parties have closed the acquisition by OAK of a 100% interest in Sage's unpatented claims and leasehold interests in the Larder Lake Mining District in Kerrs Township in the Abitibi Greenstone Belt of Ontario (the "Kerrs Gold Property"),subject to registration of the transfers with various government offices.
In consideration thereof Sage received 2 million common shares of OAK and $500,000 in cash to be paid to Sage on or before December 22, 2010 as a deferred purchase price. OAK's obligation to pay the deferred purchase price is secured by a charge on the Kerrs Gold Property. Sage will receive a 2% Net Smelter Royalty on the Kerrs Gold Property of which 1% can be purchased from Sage by OAK at any time for $500,000. OAK will also pay to Sage an advance royalty payment of $125,000, payable in five annual instalments with the first payment due on December 22, 2011.
As previously disclosed, unpatented mining claim L1140877 was relieved from forfeiture on December 21, 2009 and was included in the Kerrs Gold Property transfer to OAK.
SAGE is a mineral exploration and development company which has primary interests in exploration properties in Ontario. Its main properties are the Cox Cu-Ni deposit and the Golden Extension on the Jacobus property, the Lynx deposit on the Onaman property, the Paint Lake and Pillars properties in the Beardmore Geraldton Gold camp. Technical reports relating to the properties can be obtained from the System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedar.com.
For all Sage Gold Inc. investor relations needs, investors are asked to visit the Sage Gold Inc. IR Hub at http://www.agoracom.com/IR/sagegold where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to sgx@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.
This release was prepared by management of the Company who takes full responsibility for its contents.
This news release contains certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended and "Forward Looking Information" within the meaning of applicable Canadian securities legislation. Some forward looking statements and forward looking information contained in this release are forward-looking and, therefore, involve uncertainties or risks that could cause actual results to differ materially. Such forward-looking statements include comments regarding mining and milling operations, mineral resource statements and exploration program performance. Factors that could cause actual results to differ materially include metal price volatility, economic and political events affecting metal supply and demand, fluctuations in mineralization grade, geological, technical, mining or processing problems, exploration programs and future results of exploration programs, future profitability and production. The Company disclaims any obligation to update forward-looking statements.
Neither 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.
Contacts
Nigel Lees
Sage Gold Inc.
President and C.E.O.
416-204-3170
Mike O'Brien
Sage Gold Inc.
Manager/Investor Relations
416-204-3170
416-260-2243 (FAX)
www.sagegoldinc.com
