VANCOUVER, Dec. 28, 2012 /PRNewswire/ - Veris Gold Corp. (TSX: VG) (OTCQB: YNGFF) (Frankfurt Xetra Exchange: NG6A) ("VG" or the "Company"), announces today that Whitebox Advisors LLC ("Whitebox") has exercised its option to amend the exercise price of the Whitebox Warrants (as defined below) from $3.00 (on a post-consolidated basis) to $1.95 as per terms of the subscription agreement, subject to the approval of the Toronto Stock Exchange. No other provisions of the Whitebox Warrants will be amended and none of the Whitebox Warrants are held directly or indirectly by insiders of the Company. The amendment to the exercise price of the Whitebox Warrants will be effective as of ten trading days from the date of this release.
The Whitebox Warrants were issued pursuant to a subscription agreement between the Company and Whitebox Advisors LLC ("Whitebox"), as part of a private placement completed by the Company (the "Private Placement"), as disclosed in the June 15, 2012 news release, whereby the Company issued an aggregate principal amount of CDN$6,000,000 in unsecured convertible debentures, 201,012 common shares (on a post-consolidated basis) and 2,010,125 common share purchase warrants (the "Whitebox Warrants") (on a post-consolidated basis) to Whitebox. Each Whitebox Warrant entitles the holder thereof to purchase one common share until June 15, 2015.
Veris Gold Corp. is a growing mid-tier North American gold producer in the business of developing and operating gold mines in geo-politically stable jurisdictions. The Company's primary asset is the permitted and operating Jerritt Canyon gold mine located 50 miles north of Elko, Nevada, USA. The Company also holds a diverse portfolio of precious metals properties in British Columbia and the Yukon Territory, Canada, including the former producing Ketza River mine. The Company's focus has been on the re-development of the Jerritt Canyon mining and milling facility.
The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.