The Energold Group(R) Announces New Energy Seismic Drilling Business in Colombia
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 07/25/13 -- The
Energold Group (TSX VENTURE:EGD) ("Energold" or "the Company") is
pleased to announce that it has expanded its energy business into
Latin America with an immediate focus on Colombia. The Company has
entered into a joint venture, called "EESI", with a local partner in
Colombia, who is a leader in the seismic drilling business. Energold
holds 60% ownership of EESI and the partner holds 40%.
The development of this long term commitment to Colombia and the
region is accelerated by leveraging Energold's know-how and logistic
network in South America. One of the key synergies envisioned from
the acquisition of Bertram Drilling Corp. ("Bertram") was the
potential to enter new energy markets where Energold already held a
strong mineral presence. In doing so, the Company is immediately
beginning work in Colombia with its JV partner. "Colombia is one of
the fastest growing energy markets on the planet. We are excited to
work with our partner and provide specific equipment to the JV that
has already begun to result in new business and revenue for EESI and
Energold," said Fred Davidson, CEO.
As part of the JV agreement, Energold has agreed to contribute
specialized drilling equipment including underutilized seismic rigs
from Energold's wholly owned subsidiary Bertram in Alberta. As well,
Energold will also be contributing new equipment manufactured by
Energold's wholly owned manufacturing subsidiary Dando Drilling in
the United Kingdom.
The local partner in Colombia will operate EESI in conjunction with
support from management at Bertram. Energold has agreed to provide
fully secured loans for up to $1.5 million to EESI for equipment
acquisition and working capital purposes, bearing an interest rate of
7% per annum. "We have spent significant time in Colombia working to
develop an energy presence. We believe that we have found a strong
partner with considerable business opportunities and envision future
growth into other Latin American countries over the medium term,"
said Brian Bertram, President, Bertram Drilling Corp.
Energold Drilling Corp. is a leading global specialty drilling
company that services the mining, energy, and manufacturing sectors
in 24 countries. Specializing in a socially and environmentally
sensitive approach to drilling, Energold provides a comprehensive
range of drilling services from early stage exploration to onsite
operations for both metals and energy sectors and has an established
drill rig manufacturer, Dando Drilling International Ltd. Energold
also holds 6.98 million shares of IMPACT Silver Corp., a profitable
silver producer in Mexico.
On behalf of the Directors of Energold Drilling Corp.,
Frederick W. Davidson, President, CEO
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.
Cautionary Note Regarding Forward-Looking Statements:
This news release may contain forward-looking statements. These
statements involve known and unknown risks, uncertainties, and other
factors that may cause the Company's actual results, levels of
activity, performance or achievements to be materially different from
any future results, levels of activity, performance or achievement
expressed or implied by these forward-looking statements. The factors
that could cause actual results to differ materially include, but are
not limited to, the following: general economic conditions; changes
in financial markets; the impact of exchange rates; political
conditions and developments in countries in which the Company
operates; changes in regulatory requirements impacting the Company's
operations; the ability to properly and efficiently staff the
Company's operations; the sufficiency of current working capital; and
demand for the Company's drill rigs. As a result of the foregoing and
other factors, no assurance can be given as to any future results,
levels of activity or achievements and neither the Company nor any
other person assumes responsibility for the accuracy and completeness
of these forward-looking statements. The Company disclaims any
intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise, or to explain any material difference between subsequent
actual events and such forward-looking statements, except to the
extent required by applicable law.
Energold Drilling Corp.
Chief Financial Officer
Energold Drilling Corp.
Investor Relations Manager
(604) 681-6813 (FAX)
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