Eagle Plains to spin out Yellowjacket gold project
2011-09-29 08:28 ET - News Release
Mr. Tim Termuende reports
EAGLE PLAINS ANNOUNCES PROPOSED SPIN-OUT OF YELLOWJACKET GOLD PROJECT
The board of directors of Eagle Plains Resources Ltd. is planning to transfer the company's Yellowjacket gold project under a plan of arrangement in an effort to maximize shareholder value. The project as described below will be transferred into a new company, incorporated under the name Yellowjacket Resources Ltd. Under the proposed arrangement, there will be approximately 33 million common shares of Yellowjacket outstanding.
Under the terms of the proposed arrangement, Eagle Plains shareholders of record on the effective date of the arrangement will receive one share of Yellowjacket for every three Eagle Plains shares held. Eagle Plains will hold approximately 15 per cent of the total common shares of Yellowjacket, resulting in the transfer from Eagle Plains to Yellowjacket of no less than $100,000 cash. Concurrently, Eagle Plains will transfer to Yellowjacket its entire interest in the Yellowjacket project, an additional $500,000 cash and certain investments to provide working capital and exploration financing. Yellowjacket will apply to have its shares listed on the TSX Venture Exchange.
EPL has a small mines permit already for the YELLOWJACKET PROJECT, and is more of an explorer, project generator than a miner. I was in on the prevous spinout for EPL, which was Copper Canyon , and made out like a bandit on that one.
There is some definite value in EPL. Worth the time to look at.