Massive Black Horse Chromite Discovery

Black Horse deposit has an Inferred Resource Now 85.9 Million Tonnes @ 34.5%

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Message: Status of FSDI Study

CHINA RAILWAY FSDI SIGNS KWG STANDSTILL AGREEMENT

24 Nov 2015

TORONTO, ONTARIO–(Nov. 24, 2015) – KWG Resources Inc. (CSE:KWG) (“KWG”) and China Railway First Survey & Design Institute Group Co., Ltd. (“FSDI”) have signed a Confidentiality and Non-Disclosure Agreement arranged by Golden Share Mining Corporation (TSX VENTRUE:GSH) (“GSH”), which includes a three-year standstill provision, to enable the scoping and engineering data of KWG subsidiary Canada Chrome Corporation (“CCC”) to be made available for examination and analysis by FSDI. The parties intend to explore the possibility of a negotiated transaction between them for FSDI to undertake a feasibility study for KWG on all aspects of the construction of a Ring of Fire transportation corridor and railroad, including terms for construction financing facilities. FSDI has begun its review of the CCC data and advises that it will deliver a proposal to the parties as soon as possible in preparation for discussions in early 2016.

To advance the ongoing anticipated negotiations, CCC has engaged GSH as its representative and advocate in China. GSH is indirectly controlled by the Beijing Institute of Geology for Mineral Resources, a Chinese State Owned Enterprise. As a completion incentive, CCC will grant to GSH a finder’s fee for capital expenditures made by FSDI and its affiliates and associates for any transportation assets with which the CCC lands are improved, of 1% of all construction expenditures, payable on substantial completion of construction and thereafter a royalty on revenues generated by such transportation assets of 1.5% of freight revenues, payable quarterly.


Read more at http://www.stockhouse.com/companies/bullboard?symbol=c.kwg&postid=27964433#5VemEzxFhYg4ZcUt.99

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