Discovery Gold Corporation Completes Capital Restructuring and Strengthens Balance Sheet
DENVER, Oct. 11, 2012 /PRNewswire/ -- Discovery Gold Corporation (OTCQB: DCGD) ("Discovery Gold" or the "Company") is pleased to announce that the Company has completed a series of capital restructuring transactions involving the conversion of liabilities totalling $394,387 into 3,120,749 restricted shares of its common stock. As the result of these transactions, approximately 72% of the Company's outstanding debts have been satisfied in full. No free-trading shares of the Company were issued as part of these transactions.
"The completion of this restructuring and clearing nearly three-quarters of the Company's debts is a very important step forward as we prepare to advance the next stage of gold exploration at Edum Banso in Ghana. We also appreciate the strong vote of confidence this represents from our largest stakeholders and insiders that participated in the restructuring strategy," stated David Cutler, CFO of Discovery Gold. "We are confident that this increase in our equity base results in a stronger, more transparent balance sheet and that we are better positioned to raise new capital, advance the Edum Banso Gold Project, and take advantage of potential new opportunities."
The Company anticipates that further details regarding exploration plans and schedules for the Edum Banso Gold Project will be released shortly.
About Discovery Gold Corporation
Discovery Gold Corporation is an emerging U.S. based mineral exploration company. The Company's wholly-owned subsidiary company, Discovery Gold Ghana Limited, currently holds a 70% interest (with the expectation to increase its interest to 95%) in the exclusive rights to explore the Edum Banso Gold Project within the historic and prolific gold producing Ashanti Gold Belt in Ghana.
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Certain statements in this press release that are not historical facts are "forward-looking statements" within the meaning of that term in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements may be identified by the use of words such as "anticipate", "believe", "expect", "may", "will", "would", "should", "plan", "projected", "intend", and similar expressions. The Company bases these forward-looking statements on current expectations and projections about future events, based on information currently available. Such forward-looking statements, involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. The Company's interest in the Edum Banso Gold Project is subject to final Ghanaian government approval of the licence transfer. The Company has no mineral resource or reserve estimate for the Edum Banso Gold Project at this time, has no assurance that it will discover significant mineral resources, and may not have sufficient funding to thoroughly explore, drill or develop its property. The Company disclaims any obligation to update any of its forward-looking statements, except as may be required by law.
SOURCE Discovery Gold Corporation