Vancouver, British Columbia / ACCESSWIRE / March 17, 2014 / Aston Bay Holdings Ltd. (TSX-V: BAY) ("Aston Bay" or the "Company") today announced that it has amended the royalty provision of its option agreement with Commander Resources Ltd. (CMD: TSX-V) on the Storm Project.
"Aston Bay's ability to reduce the royalty in the future has been a key issue with potential strategic partners. This amendment resolves that issue and allows the Company to move discussions forward," says Benjamin Cox, President and CEO of Aston Bay. "We appreciate Commander's willingness to fine-tune our agreement and provide Aston Bay with greater flexibility in the way the project is advanced."
The amendment allows Aston Bay to reduce the Gross Overriding Royalty from 0.875% to 0.4% by making a one-time payment to Commander Resources Ltd. under the following schedule:
-$2 million if payment is made in the 2014 calendar year; or
-$3 million if payment is made in the 2015 calendar year; or
-a payment of $3 million plus an additional $1 million for every calendar year following 2015 (for example: $6 million if payment is made in 2018).
About Aston Bay Holdings
Aston Bay Holdings Ltd. (TSX-V: BAY) is a publicly traded mineral exploration company focused on the 345,033 acre Storm Property located on northwest Somerset Island, Nunavut. The property hosts the Storm Copper and Seal Zinc prospects. Aston Bay holds the right to earn or buy up to a 100% undivided interest in the Storm Property from Commander Resources Ltd. (TSX-V: CMD).
On behalf of the Board of Directors,
Benjamin Cox, Chief Executive Officer
Telephone: (360) 262-6969
For further information about Aston Bay Holdings Ltd or this news release, please visit our website at www.astonbayholdings.com.
Neither the TSX Venture Exchange Inc. 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 news release contains certain statements that may be deemed "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.