The 70% interest in the Despinassy property is being acquired from Cameco Gold Inc. (now Centerra Gold Inc.) under an option agreement whereby Alto makes cash payments of $200,000 and cash or share payments, at Alto's option, of $500,000 over five years from the date of signing of a formal option agreement. Cameco's 30% joint venture partner, Commander Resources Ltd. (TSX.V: CMD) has waived its right of first refusal in consideration for 100,000 common shares of Alto and a best efforts exploration program of $500,000 over two years. In this regard , the Company has informed Cameco and Commander that it has completed its due diligence and would like to proceed to the drafting of formal agreements.
As a result of these initiatives, the Company shall resume trading at the open of trading on May 26, 2004 and will continue with the filing of further documentation to gain Exchange approval for the various transactions related to the reorganization and $800,000 financing of the Company. Upon satisfaction of all Shareholder and Exchange approvals, Alto will have an exceptional portfolio of gold projects in Manitoba, Ontario and Quebec under the management of a new team of mining and finance professionals with a proven track record in mineral property development, acquisitions and access to capital markets. Drill programs for the Oxford Lake and Despinassy projects are planned for the upcoming winter drill season.
ON BEHALF OF THE BOARD:
Rick Mazur
President & CEO
The TSX Venture Exchange has neither approved nor disapproved of the contents of this press release.
For further information, contact:
Rick Mazur
President & CEO
Alto Ventures Ltd.
Suite 910-475 Howe Street
Vancouver, B.C. V6C 2B3
Phone: 604-681-2409
Fax: 604-689-3609
Email: info@altoventures.com
