NEW YORK, NEW YORK — (Marketwire) — 03/19/12 — Electrum Strategic Resources LLC („Electrum“) announced that it intends to exercise all of the warrants of NovaGold Resources Inc. („NovaGold“) it holds pursuant to which Electrum will acquire 32,737,278 common shares (the „Common Shares“) of NovaGold. Electrum expects to effect such exercise prior to the effective date of NovaGold-s Plan of Arrangement in connection with its spin-out of its wholly-owned subsidiary, NovaCopper Inc., which is expected to become effective on or about April 30, 2012 and, in all events, intends to effect such exercise prior to January 21, 2013, the expiration date of such warrants. In that regard, Electrum intends to immediately seek the regulatory approvals necessary to enable Electrum to increase its ownership of Common Shares in connection with the intended warrant exercise.
Electrum currently owns 53,232,201 Common Shares representing approximately 19.15% of the issued and outstanding Common Shares and the 32,737,278 warrants referred to above which, if exercised, would result in Electrum owning approximately 27.66% of the issued and outstanding Common Shares. Such percentages are based on publicly available information as of March 19, 2012.
The warrants and Common Shares referred to above continue to be held for investment purposes and Electrum and/or one or more of its affiliates may, depending on market and other conditions, increase or decrease its beneficial ownership of Common Shares or other securities of NovaGold whether in the open market, by privately negotiated agreement or otherwise.
Electrum Strategic Resources LLC is located at 535 Madison Avenue, 12th Floor, New York, NY 10022.
Contacts: Electrum Strategic Resources LLC Michael Williams 646-365-1600
Only registered users can comment.
