SUDBURY, ONTARIO--(Marketwired - Oct. 25, 2013) - Northern Superior Resources Inc. (News - Market indicators) ("Northern Superior" or the "Company") has determined that it has lost the ability to access its very promising Thorne Lake, Meston Lake and Rapson Bay gold properties (the "Properties") in northwestern Ontario, as well as its ability to realize the benefits of any value it has created from its exploration programs on the Properties, as a result of the actions of third parties. The Company accordingly can no longer justify incurring further damage to its investment nor will it incur any further exploration expenditures on the Properties. After attempting to resolve the matter with the Government of Ontario, the Company has been left with no option but to commence legal action against it to protect its investment and the interests of its shareholders and stakeholders.
Northern Superior yesterday filed a Statement of Claim in the Superior Court of Ontario against the Government of Ontario seeking among other things, damages consisting of amounts expended to date as well as for the lost value of the Properties, which the Company through independent valuation has estimated to be approximately $110 million dollars.
The circumstances that have led to the legal action are primarily the result of the actions and policies of the Government of Ontario relating to First Nations and in particular, of the Government of Ontario's failure to discharge its duty to consult with First Nations in the area where the Properties are situated. In addition, the Government of Ontario's actions to resolve other land access disputes in the area, including the withdrawal from mining of a large amount of territory in the area of the Properties (approximately 23,000 km2), have only served to exacerbate the situation for the Company and to further damage the value of the Properties.
Although certain actions by First Nations in the area also made continued exploration on the Properties no longer possible, the Company respects the inherent right of First Nations to decide whether to allow exploration in their traditional territory.
Thomas Morris, President and CEO of the Company comments: "We are extremely disappointed that circumstances have caused us to resort to such drastic measures. However, we want to assure all shareholders and stakeholders that this action against the Government of Ontario will in no way diminish the Company's commitment to exploration and advancement of its other mineral properties such as its TPK gold property in northwestern Ontario, or its Croteau Est and newly acquired Grizzly properties near Chibougamau, Quebec. Northern Superior cannot emphasize strongly enough the importance of the relationships developed with its other First Nation partners with whom the Company has negotiated working agreements."
The foregoing is only a summary of the Northern Superior's action against the Government of Ontario. A full copy of the Statement of Claim will be available on the Company's web-site. Northern Superior intends to issue additional press releases to provide further details of the circumstances which gave rise to the current situation and to update stakeholders on the status of the legal action as it progresses.
About Northern Superior Resources Inc.
Northern Superior is a junior exploration company exploring for gold in the Superior Province of the Canadian Shield. The Company has just under $6 million cash in the bank and is currently focused on exploring its Croteau Est property in Quebec. The Company has a number of 100% owned properties (see Company web site, www.nsuperior.com) in the Stull-Wunnumin and Chibougamau gold districts of Ontario and Québec. Northern Superior has been the recipient of a number of prestigious awards in recognition of the Company's excellent management and geological programs including: being named to the 2011 TSX-Venture Top 50; the 2011 Ontario Business Achievement Award, ICAO Award for Corporate Governance; the 2012 Association L'Exploration Miniére du Québec (AEMQ) Prospector of the Year Award; and in 2013 accepted into the Canadian Council for Aboriginal Business, Progressive Aboriginal Relations (PAR) Committed status.
Northern Superior is a reporting issuer in British Columbia, Alberta, Ontario, and Quebec, and trades on the TSX Venture Exchange under the symbol SUP.
For Investors
Forward looking statements: This news release includes certain "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act or 1995 (collectively, "forward looking statements"). Forward looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", " expect", " potential", "project", "target", "schedule", "budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved or other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding potential mineralization, exploration results, interpretation of results, the timing and success of exploration activities generally, the timing and results of future resource estimates, and future plans and objectives of Northern Superior are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Northern Superior's expectations include exploration risks, changes in project parameters as plans continue to be refined, results of future resources estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
