DGAP-Adhoc: Pearl Gold AG: Update on Situation at Wassoul'Or SA


Pearl Gold AG  / Key word(s): Miscellaneous

17.09.2014 14:10

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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* Wassoul'Or has filed for a transitional protection procedure (Chapter 11)
* No activity on Wassoul'Or's mines despite contrary announcement
* Pearl Gold AG has lost confidence in Wassoul'Or's management and will
take legal action

Frankfurt, 17 September 2014. Pearl Gold (ISIN: DEOOOAOAFGF3). Pearl Gold
AG has been informed that Wassoul'Or has finally decided to file for a
special procedure pursuant to OHADA laws, comparable to a Chapter 11
procedure in the United States (règlement préventif). To avoid the risk of
a liquidation initiated by a third creditor, Pearl Gold and Wassoul'Or
initially agreed to a joint filing, but Wassoul'Or again disregarded its
engagements and did not invite Pearl Gold to join the process.

Pearl Gold sees itself obliged to take legal action in the near future to
defend its interests, as several agreements between Pearl Gold and
Wassoul'Or have not been respected by the latter. Pearl Gold's management
places trust in the competent court in Mali and its appointed expert to
analyse the situation of Wassoul'Or and to propose a suitable solution.
Pearl Gold regrets that the recovery plan presented by Wassoul'Or to the
court does not answer any of the relevant questions while raising new ones:
Wassoul'Or is for example seeking to appoint a former contractor from
Canada as operator of the mine. This engineering company being the same
contractor that Wassoul'Or has held responsible for all technical problems
at the plant in the past leaves Pearl Gold to question the soundness and
seriousness of Wassoul'Or's proposals. In light of Wassoul'Or's recent
strategic and operational decisions Pearl Gold wants to point out that it
has lost confidence in the willingness and competence of Wassoul'Or's
management to lead the operations on the Koderian mine in the best interest
of all shareholders.

Despite regular assurances from Wassoul'Or since July 17th, 2014, work on
the mines has not resumed yet. Neither Pearl Gold's staff that has been
inspecting the site on several occasions nor other witnesses in the
Kodiéran region contacted by Pearl Gold have seen any activity on ground.







Pearl Gold AG 

Pearl Gold AG is a project developer and active investor listed in the
General Standard of the Frankfurt Stock Exchange, based in Frankfurt. The
company focuses on investments in West African exploration and mining
corporations, especially in the field of gold and other precious metals.
The first investment of Pearl Gold is the Malian mining company Wassoul'Or,
in which Pearl Gold has a stake of 25 per cent. Wassoul'Or concentrates on
the exploration and production of gold and runs the Kodiéran gold mine in
the South of Mali. For further information as well as the securities
prospectus visit http://www.pearlgoldag.com



For Inquiries: 

MSL Financial
Press@pearlgoldag.com
Tel: +49 (0) 30 82082 506




CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain information
included in this news release constitutes "forward-looking statements". The
words "expect", "plan", "will", "intend", "estimate" and similar
expressions identify forward-looking statements. Forward-looking statements
are necessarily based upon a number of estimates and assumptions that,
while considered reasonable by management, are inherently subject to
significant business, economic and competitive uncertainties and
contingencies. The Pearl Gold AG cautions the reader that such
forward-looking statements involve known and unknown risks, uncertainties
and other factors that may cause the actual results, performance or
achievements of the Company to be materially different from the Company's
estimated future results, performance or achievements expressed or implied
by those forward-looking statements and the forward-looking statements are
not guarantees of future performance. These risks, uncertainties and other
factors include, but are not limited to, risks associated with the mining
industry such as government regulation, environmental and reclamation
risks, title disputes or claims, success of mining activities, future
commodity prices, costs of production, possible variation in mineral
reserves, mineral resources, grade or recovery rates, failure of plant,
equipment or processes to operate as anticipated, accidents, labour
disputes, the timing of estimated future production, capital expenditures,
financial market fluctuations, requirements for additional capital,
conclusions of economic evaluations, limitations on insurance coverage,
risks associated with using third-party contractors and inflation. The
Company disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information, future
events or otherwise, except as required by applicable law.


17.09.2014 The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language:     English
Company:      Pearl Gold AG
              Neue Mainzer Straße 28
              60311 Frankfurt
              Germany
Phone:        +49 (0) 69 971097 555
Fax:          +49 (0) 69 971097 202
E-mail:       info@pearlgoldag.com
Internet:     www.pearlgoldag.com
ISIN:         DE000A0AFGF3
WKN:          A0AFGF
Listed:       Regulierter Markt in Frankfurt (General Standard)
 
End of Announcement                             DGAP News-Service
 
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