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NYSE - AG TSX - FR
Frankfurt - FMV
Oct. 24, 2013 /PRNewswire/ -
FIRST MAJESTIC SILVER CORP. (AG: NYSE; FR: TSX) (the "Company" or "First Majestic") is pleased to announce that further to its news release on
September 30, 2013, the Court of Appeal has dismissed the appeal of
Hector Davila Santos ("Hector Davila") and Minerales y Minas Mexicanas, S.A. de C.V. ("MMM").
As previously announced, on
April 24, 2013 the Supreme Court of
British Columbia awarded judgment of
US$93.84 million in favour of First Majestic in the litigation against
Hector Davila and MMM. This judgment was subsequently appealed by
Hector Davila and MMM. On
June 27, 2013, the Court of Appeal for
British Columbia ordered
Hector Davila and MMM to post security for the unpaid trial judgment in the amount of
US$79 million, (being the approximate difference between the judgment amount of
US$93.84 million, less the funds of
CDN$14.85 million previously received by First Majestic) or in the alternative to post a letter of credit in that amount within 90 days of the order, with liberty to apply for further directions on the form of security, if necessary. As
Hector Davila and MMM did not post security or provide a letter of credit, the Company applied for an order dismissing their appeal. On
October 23, 2013, the Company received the Court of Appeal's Reasons for Judgment dismissing their appeal ("the Dismissal Order").
Hector Davila and MMM have seven days from the date of the Dismissal Order in which to initiate an application to vary or discharge the Dismissal Order.
Hector Davila and MMM should not be regarded as final until such time as all avenues for appeal have been exhausted and the Company cautions that even if the results of all such appeals are in the Company's favour it may have to take additional action in
Canada to try to recover the unpaid portion of the judgment. The outcome of any such action is not presently determinable.
First Majestic is a mining company focused on silver production in México and is aggressively pursuing its business plan of becoming a senior silver producer through the development of its existing mineral property assets and the pursuit through acquisition of additional mineral assets which contribute to the Company achieving its aggressive corporate growth objectives.