NGEx Announces Sale of Burkina Faso Assets
July 5, 2010
VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 5, 2010) - NGEx Resources Inc. (TSX:NGQ) ("NGEx") or the "Company") reports that the Company has sold its indirect wholly-owned subsidiary Sanu Resources Burkina S.A.R.L. to Indigo Exploration Inc. ("Indigo") in consideration for $65,000 cash and 3,000,000 common shares (the "Consideration Shares") in the capital of Indigo at a deemed price of $0.15 per Consideration Share.
Prior to the issuance of the Consideration Shares, NGEx neither owned nor exercised control over any Indigo securities of any kind. The issuance of the Consideration Shares has resulted in NGEx owning or exercising control over approximately 16% of the issued and outstanding common shares of Indigo.
This transaction is part of the Company's continuing effort to rationalize its portfolio of projects and to realize value from its divestments.
NGEx relied on the accredited investor exemption provided for in section 2.3 of National Instrument 45-106 in connection with the issuance of the Consideration Shares, which were issued pursuant to a private transaction and not through the facilities of any market.
NGEx has acquired these securities for investment purposes only and the Company has no intention to acquire ownership of, or control over, additional securities of Indigo but may do so in the future if additional securities become available at prices that are attractive to NGEx.
On behalf of the Board,
Dr. Wojtek Wodzicki, President and CEO
NGEx Resources Inc.
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