Asmara, Eritrea's capital city. Asmara, Eritrea's capital city.

Sunridge Signs Agreement to Purchase Net Profits Interest on the Asmara Project, Eritrea

Sunridge Gold Corp. (the “Company” or “Sunridge”) (SGC: TSX.V/SGCNF: OTCQX) is pleased to announce that it has executed an agreement with the Estate of Albert J Perry granting Sunridge a two-year option to purchase Perry’s 2% net profit interest (“NPI”) on Sunridge’s interest in the Asmara Project.

Albert J. Perry was a geologist that recognized the potential of the Asmara Project when he first visited the area in the 1990s. Mr. Perry was granted a 2% NPI interest on the project by a previous operator and this interest has become the sole responsibility of Sunridge. Mr. Perry died in 2013 and his estate holds the NPI interest.

Sunridge will pay the Perry Estate a non-refundable payment of US$75,000 and is granted a one-year option to purchase the NPI interest for US$1.5 million.

If Sunridge does not exercise this option within the first year then Sunridge has the option to pay the Perry Estate US$125,000 for the option to purchase the NPI interest for a second year for US$2.5 million.


This agreement with the Perry Estate quantifies the NPI and will help provide some certainty to future economics of the Asmara Project and will therefore assist in advancing all of AMSC’s future plans for the project.

The Asmara Project is held by the Asmara Mining Share Company (“AMSC”) a joint-venture company of which Sunridge owns 60% and the Eritrean National Mining Corporation (“ENAMCO”) owns 40%.

The Asmara Project comprises six defined deposits, four of which are the subject of a feasibility study completed in May 2013 and are currently in the permitting process. The Perry Estate NPI applies to the entire Asmara Project but would be paid only by Sunridge from its share of cash flow from AMSC.


“Michael Hopley”
Michael Hopley, President and Chief Executive Officer

For further information contact:
Greg Davis, VP Business Development

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.

This news release contains forward-looking statements that are based on the Company’s current expectations and estimates. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “suggest”, “indicate” and other similar words or statements that certain events or conditions “may” or “will” occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Forward looking statements may include the timing and success of any application for a mining license, permitting or of debt financing. Risk and uncertain factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals, a mining license, or debt financing, uncertainties in negotiating commercial arrangements with government entities; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

By Editorial Team

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