Message #6 From:
NewsBot Date: November 7, 2006 03:19:00 PM
GRZ News Gold Reserve Enters into a Supplemental Warrant Indenture to Amend Unlisted Warrants
TORONTO--(BUSINESS WIRE)--Gold Reserve Inc. (TSX:GRZ) (AMEX:GRZ) announced today that it
has entered into a supplemental warrant indenture to the warrant
indenture dated November 4, 2004, between Gold Reserve Inc. (the “Company”)
and Computershare Trust Company of Canada governing the 2,680,500 Class
A common share purchase warrants (the “Warrants”)
issued by the Company amending the exercise price and expiry date of the
Warrants.
Prior to giving effect to the amendments, each Warrant was set to expire
at 4:30 p.m. (Toronto time) on November 6, 2006, and entitled the holder
thereof to acquire one Class A common share of the Company at a price of
Cdn. $6.50. Effective at the close of business on November 6, 2006, but
subject to the receipt of Shareholder approval, the amendments have: (i)
increased the exercise price of the Warrants to Cdn. $6.55; and (ii)
extended the expiry date of the Warrants to July 31, 2007.
There are no Warrants held, directly or indirectly, by insiders of the
Company.
As announced on October 31, 2006, the Company will be seeking
shareholder approval for the amendments to the Warrants at the next
annual meeting of shareholders anticipated to take place in the second
quarter of next year. The Warrants will not be exercisable from 4:30
p.m. (Toronto time) on November 6, 2006 (the date and time of their
original expiry) until the date and time shareholders of the Company
authorize the amendments to the Warrants. Should the approval of
shareholders of the Company not be obtained, the proposed amendments to
the Warrants will not be effective.
The certificates representing the Warrants prior to their amendments
will continue to represent those Warrants as amended. At such time as a
Warrant holder submits the certificate representing the Warrant prior to
its amendment to Computershare Trust Company of Canada for transfer, a
new certificate representing the Warrant as amended will be issued.
Gold Reserve Inc. is a Canadian company which holds the rights to the
Brisas gold/copper project and the Choco 5 gold exploration property in
Bolivar State, Venezuela.
Forward-Looking Statements
Certain statements included herein, including those that express
management's expectations or estimates of our future performance or
concerning the Brisas Project, constitute "forward-looking statements"
within the meaning of the United States Private Securities Litigation
Reform Act of 1995. Forward-looking statements are necessarily based
upon a number of estimates and assumptions that, while considered
reasonable by management at this time, are inherently subject to
significant business, economic and competitive uncertainties and
contingencies. We caution that such forward-looking statements involve
known and unknown risks, uncertainties and other risks that may cause
the actual financial results, performance, or achievements of Gold
Reserve Inc. to be materially different from our estimated future
results, performance, or achievements expressed or implied by those
forward-looking statements. Investors are cautioned not to put undue
reliance on forward-looking statements. All subsequent written and oral
forward-looking statements attributable to the Company or persons acting
on its behalf are expressly qualified in their entirety by this notice.
The Company disclaims any intent or obligation to update publicly these
forward-looking statements, whether as a result of new information,
future events or otherwise.
