TIG Advisors, LLC Announces Its Consideration of the Unsolicited Offer for Chaparral Gold Corp.

TORONTO, ONTARIO--(Marketwired - Feb. 18, 2014) -

NOT FOR DISSEMINATION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION TO THE UNITED STATES

TIG Advisors, LLC ("TIG"), announced today that on February 10, 2014, it had filed a report (the "Report") under Part 4 of National Instrument 62-103 ("NI 62-103") in relation to its status as an eligible institutional investor. The Report, as filed, disclosed TIG's ownership of common shares of Chaparral Gold Corp. ("Chaparral Gold"). The Report also disclosed that neither TIG nor any of the investment funds it manages intended to (i) make a formal take-over for securities of Chaparral Gold or (ii) propose a reorganization, amalgamation, merger arrangement or similar business combination with Chaparral Gold that if completed would reasonably be expected to result in TIG or the investment funds it manages either alone or together with any joint actors, possessing effective control over Chaparral Gold or a successor to all or part of the business of Chaparral Gold.

As reported in the Report, TIG exercised control or direction over 15,195,823 common shares of Chaparral Gold (or approximately 12.92% of the outstanding common shares of Chaparral Gold). The 15,195,823 common shares of Chaparral Gold as of the date of the Report were held by TIG Arbitrage Associates Master Fund, L.P., TIG Arbitrage Enhanced Master Fund, L.P. and certain separately managed accounts. TIG is the investment manager of TIG Arbitrage Associates Master Fund, L.P., TIG Arbitrage Enhanced Master Fund L.P., and certain separately managed accounts.

As of today's date, TIG exercises control or direction over 18,785,823 common shares of Chaparral Gold (or approximately 15.97% of the outstanding common shares of Chaparral Gold). The 18,785,823 common shares of Chaparral Gold are held by TIG Arbitrage Associates Master Fund, L.P., TIG Arbitrage Enhanced Master Fund, L.P. and certain separately managed accounts.

On February 18, 2014, Waterton Precious Metals Fund II Cayman, LP ("Waterton") announced that it intended to commence, through one of its subsidiaries, an unsolicited offer to acquire (herein, the "Take-Over Bid") all of the issued and outstanding common shares of Chaparral Gold not already held by it and its affiliates at a price of C$0.50 in cash per share.

In light of the Take-Over Bid, TIG is now considering all of its available options in connection with the securityholdings of Chaparral Gold described in this press release. Accordingly, TIG will not file any further reports under Part 4 of NI 62-103 with respect to its securityholdings of Chaparral Gold until such time as it has assessed all of its available options. Such options may include, among other things, commencing its own bid or entering into other arrangements with respect to securities of Chaparral Gold, acquiring, on behalf of investment funds and/or separately managed accounts it manages, additional securities of Chaparral Gold and/or disposing of some or all of the existing or additional securities of Chaparral Gold. In addition, such options may also include, among other things, continuing to hold securities of Chaparral Gold, tendering to the Take-Over Bid, tendering and/or voting in favour of any subsequent transaction in respect of any securities of Chaparral Gold or such other actions as TIG may consider appropriate in the applicable circumstances.

Each of TIG Arbitrage Associates Master Fund, L.P., TIG Arbitrage Enhanced Master Fund, L.P. and certain separately managed accounts may be considered joint actors of TIG.

About TIG Advisors, LLC

TIG Advisors, LLC is a New York based investment adviser registered with the United States Securities & Exchange Commission. As of the date of this filing, it has investment discretion over approximately US$1.6B of assets through its role as investment manager to certain private investment funds and separately managed accounts.

The filing of this news release is not an admission that an entity named in the news release owns or controls any described securities or is a joint actor with another named entity.