Great Quest Receives Escrowed Shares
VANCOUVER, BC - Victor J.E. Jones, Chairman and CFO of Great Quest Metals Ltd. (TSXV: GQ; Frankfurt: GQM), is pleased to report the release of all of the 1.9 million Avion Gold Corporation ("Avion", AVR: TSXV) shares placed in escrow pursuant to the transaction on its Kenieba gold concessions with Avion and the grant of the Comifa concession permit (GQ News - January 10, 2011).
The former Great Quest Kenieba concessions now comprise part of the Avion gold Tabakoto-Segala project, reported to have produced 87,661 ounces of gold in 2010. Under the agreement with Avion, Great Quest is to receive further payments of up to $2.1 million based on gold production from its former Kenieba concessions greater than 400,000 ounces, payable in increments of $700,000 for each additional 50,000 ounces production. If production from the concessions exceeds 600,000 ounces Avion would be required to make up to a further $ 1.4 million in payments to complete its obligations under the agreement for a total production bonus of $3.5 million.
Proceeds from the Kenieba transaction have been used to expand the Company's exploration activities in Mali where it now holds several concessions and drilling permits for its 737 sqkm Tilemsi Phosphate project and Sanoukou gold concession.
ON BEHALF OF THE BOARD OF DIRECTORS OF GREAT QUEST METALS LTD.
Victor J.E. Jones
For additional information please contact:
12g3-2(b) Exemption #82-3116
Standard & Poor's Listed
Trading Symbol: GQ Frankfurt Exchange: GQM
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release. The statements that are not historical facts and are forward-looking statements involving known and unknown risks and uncertainties could cause actual results to vary materially from the targeted results.