VAL-D'OR, QC, Jan. 22, 2013 /CNW Telbec/ - Abitex Resources Inc. (TSXV: ABE) (the "Company"; "Abitex") provides the following corporate update to its shareholders: Write-Off of Lavoie Property The Corporation's option agreement for the Lavoie uranium-gold property in the Otish Mountains of north-central Quebec called for $4M exploration expenditures in 2012. Abitex was unable to meet this obligation by year-end and is therefore in default as per the terms of the option agreement. Attempts to extend/modify/renegotiate the option agreement with the property owners were unsuccessful and the option agreement is considered rescinded. Consequently, the Corporation has completed a $9.5M write-off of the full value of the Lavoie project in its annual financial statements. Abitex retains its 100% interest in the Epsilon property in the same geographic area where it has spent almost $3M since 2008 and on which it has made several high grade uranium-gold discoveries. Annual General and Special Meeting The Corporation's annual general and special meeting will be held February 28(th) at the Corporation's offices in Val d'Or, Quebec. Amongst the items on the agenda are special resolutions submitted for shareholder approval for a consolidation of the shares and a change of name of the Corporation. The Management of the Corporation is proposing to consolidate its share capital. In the opinion of the Management, a consolidation of common shares of the Corporation on the basis of ten (10) existing shares for one (1) new common share is the proper action to make the Corporation more attractive to investors financing the Corporation's activities as well as buying securities either privately or on public markets. The special resolution must be approved by not less than two-thirds of the votes cast by the holders of Common Shares present in person or represented by proxy at the Meeting to be effective. If the Share Consolidation is implemented, the number of outstanding securities of the Corporation will be 9,510,943 common shares and 700,000 options to purchase common shares. The Management of the Corporation will also propose to change the name of the Corporation to "ABE RESOURCES INC. / RESSOURCES ABE INC." Management of the Corporation believes the share consolidation and name change are in the best interests of the shareholders and recommend to shareholders to vote for both special resolutions. The Company's public documents may be accessed atwww.sedar.com For further information on the Company, please visit our website atwww.abitex.ca or contact us email@example.com 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. This press release contains "forward-looking information" which is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information. Yves J. Rougerie President and CEO Tel: (819) 874-6200 ext. 222 firstname.lastname@example.org SOURCE: ABITEX RESOURCES INC. To view this news release in HTML formatting, please use the following URL: http://www.newswire.ca/en/releases/archive/January2013/22/c7814.html CO: ABITEX RESOURCES INC. ST: Quebec NI: MNG TNM MNA FIN -0- Jan/22/2013 21:05 GMT
Abitex Resources Provides Corporate Update
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