|By Marketwired .||
|December 2, 2013 08:30 AM EST||
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 12/02/13 -- Alto Ventures Ltd. (TSX VENTURE: ATV) is pleased to announce it has entered into an amending agreement with Birch Hill Gold Corp ("BHG") concerning the sale of its ownership in the Coldstream property in Ontario (the "Property")(see Press releases dated November 1, 2011, February 15, 2012 and June 27, 2012). As consideration for Alto's 40% interest in the Property, BHG was to pay $2,500,000 payable through the issuance of 10,000,000 common shares at a price of $0.12 per share (all of which shares have been issued) and $1,300,000 in cash over a six month period. BHG has paid to Alto $533,839 and $766,161 continues to be due to Alto, as secured by a debenture on the Property.
Pursuant to the amending agreement, of the remaining $766,161 (the "Balance"), $383,080 will be paid by BHG through the payment of a minimum of 25% of the aggregate net proceeds of any non-flow through equity financing raising completed by BHG, provided however that $191,540 must be paid not later than February 21, 2014 and a further $191,540 must be paid not later than May 21, 2014. Upon completion of the payments due on February 21, 2014 and May 21, 2014, BHG must settle the remaining balance outstanding of $383,081, on or before May 31, 2014, through the issuance of 3,830,810 shares of Birch Hill or any combination of cash and shares at the option of BHG. Interest will accrue on the outstanding balance at a rate of 6% per annum payable quarterly in shares of BHG. Birch Hill will pay to Alto, in addition to the Balance, 574,620 bonus shares which are payable upon TSX Venture Exchange approval of the amended debenture.
The Agreement is subject to Birch Hill and Alto obtaining Board approval and Birch Hill obtaining approval from the TSX Venture Exchange.
About Alto Ventures Ltd
Alto Ventures Ltd. is an exploration and development company with a portfolio of highly prospective Canadian gold and base metals properties. The Company is active in Quebec in the Abitibi greenstone belt on the Destiny gold property and in Ontario, exploring in the Beardmore-Geraldton gold belt. In Manitoba, the Company is focused on the gold and base metals potential of the highly prospective but relatively under-explored Oxford Lake property
For more details regarding the Company's projects, please visit our website at www.altoventures.com.
ON BEHALF OF THE BOARD,
Richard J. Mazur, P. Geo., CEO
Neither the 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.