rading Symbol: RRO - TSX-V
Shares Outstanding: 73,681,909
HALIFAX, March 27 /CNW/ - Royal Roads Corp. (RRO-TSX-V) ("Royal Roads" or "Company") announces that management has reported to the Board of Directors that it has completed its analysis and concluded that there is a strong business case for considering the combination of the assets and operations of the Company with those of Buchans River Ltd. ("Buchans River") for the ultimate purpose of enhancing shareholder value in both companies.
Following this report, the Board of Directors formed an independent committee whose mandate is to investigate a possible combination of the two companies. The independent committee has, however, decided to defer discussions until such time as Buchans River is in a position to announce a resource on its Lundberg Zone, currently subject to a 6,000 metre drill program designed to define an inferred resource. Buchans River expects to be in a position to announce the resource later this year.
It is important to note that there can be no assurances that any transaction may arise from these considerations. Also, should the Board of Directors, on the advice of the Independent Committee, decide to proceed with the combination, it would be subject to receipt of all necessary regulatory, court and shareholder approvals.
About Royal Roads
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... Roads is a resource company based in Halifax, Nova Scotia, Canada and is focused on exploring and developing base metal properties in central Newfoundland and Labrador, Canada. Royal Roads and Buchans River, its 26.39% owned affiliated company, together control a total of 33,700 hectares within central Newfoundland and Labrador'sVictoria Lake and Buchans mining camps, including the historic Buchans mine (owned by Buchans River) and the Daniels Pond deposit (owned by Royal Roads). Royal Roads is 44.40% controlled by Acadian Mining Corp., a Halifax based resource company developing gold and base metal properties, including the Scotia Mine (lead and zinc) in Nova Scotia
