Talon Receives First Payment From The Sale Of The São Jorge Gold Project, Brazil
Oct 7, 2010
Road Town, Tortola, British Virgin Islands (Oct 7, 2010) - Talon Metals Corp., (“Talon” or the “Company”) (TSX: TLO) is pleased to announce that it has received the first payment from the sale of the São Jorge Gold Project (“São Jorge”) to Brazilian Gold Corporation (“Brazilian Gold”) (TSXV:BGC).
Brazilian Gold has made the first payment to Talon of $1 million in cash and $500,000 in Brazilian Gold shares*. This is the first of three cash and share payments under the option agreement announced in Talon's news release of June 15, 2010. Under the terms of this agreement, Brazilian Gold has a right to acquire a 100% interest in São Jorge through the payment to Talon of a total of $2,250,000 in cash and $2,250,000 in Brazilian Gold shares by May 2012.
“This $1 million addition to Talon's treasury further strengthens Talon's financial position as we start our drilling program at our iron ore and potash projects,” said Mr. Stuart Comline, President and CEO of Talon.
*Calculated as the number of Brazilian Gold shares equal to the dollar amount divided by the twenty day volume-weighted average trading price of Brazilian Gold shares.
Talon is a TSX-listed company focused on the acquisition, exploration and development of iron ore, potash and other mineral resource projects. The Company has a well-qualified exploration and management team with extensive experience in exploration and project management.
Talon has a treasury of approximately CDN$5 million and has 63,877,950 common shares outstanding and 70,517,450 shares fully diluted.
For additional information on Talon please visit the Company's website at www.talonmetals.com or contact: