East Africa Metals provides updates on the Tanzanian Definitive Agreement
East Africa Metals provides updates on the Tanzanian Definitive Agreement
VANCOUVER, British Columbia, April 06, 2018 -- East Africa Metals Inc. (TSX Venture:EAM) (“East Africa” or the “Company”)
announces the Company has commenced binding arbitration proceedings with respect to certain disputes that East Africa has
with Tanzanian Goldfields Company Limited (“TzGF”) under the Contractor and Option to Purchase Agreement dated March 5,
2016 (the “Definitive Agreement”) and the Addendum to the Definitive Agreement dated January 16, 2018 (the “Addendum”).
In accordance with the Definitive Agreement and the Addendum, the binding arbitration will be heard by a single arbitrator in
Vancouver, British Columbia pursuant to the rules of the British Columbia International Commercial Arbitration Centre. The
arbitration proceedings have been initiated by the Company as a result of the failure of TzGF to adhere to the terms of the
Definitive Agreement and Addendum. East Africa will provide updates on the arbitration as developments warrant.
More information on the Company can be viewed at the Company’s website: www.eastafricametals.com
On behalf of the Board of Directors:
Andrew Lee Smith, P.Geo., CEO
For further information contact:
Nick Watters, Business Development
Telephone +1 (604) 488-0822
Email [email protected]
Website www.eastafricametals.com
Cautionary Statement Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation.
Generally, forward-looking information can be identified by the use of forward-looking terminology such as "anticipate",
"believe", "plan", "expect", "intend", "estimate", "forecast", "project", "budget", "schedule", "may", "will", "could", "might",
"should" or variations of such words or similar words or expressions. Forward-looking information is based on reasonable
assumptions that have been made by East Africa as at the date of such information and is subject to known and unknown
risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of East
Africa to be materially different from those expressed or implied by such forward-looking information, including but not limited
to: early exploration; successful completion of the arbitration process, the ability for the Company to obtain a fair and
reasonable result to the arbitration process, the ability of the Company to identify a new development partner or the sale of the
Tanzanian Assets to advance the Magambazi Project or identify any other corporate opportunities for the Company; mineral
exploration and development; metal and mineral prices; availability of capital; accuracy of East Africa's projections and
estimates, including the initial mineral resource for the Adyabo, Harvest and Magambazi Projects; estimated timing of receipt
of the Adyabo mining licence applications and/or exploration licence extensions, interest and exchange rates; competition;
stock price fluctuations; availability of drilling equipment and access; actual results of current exploration activities;
government regulation; political or economic developments; foreign taxation risks; environmental risks; insurance risks;
capital expenditures; operating or technical difficulties in connection with development activities; the speculative nature of
strategic metal exploration and development including the risks of diminishing quantities of grades of reserves; contests over
title to properties; and changes in project parameters as plans continue to be refined, as well as those risk factors set out in
East Africa’s management’s discussion and analysis for the year end December 31, 2016, management’s discussion and
analysis for the three and nine months ended September 30, 2017 and East Africa’s listing application dated July 8, 2013.
Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to
the timely closing of the financing; the timely closing of the Handeni Property definitive agreement; the ability of the Company
to repay the loan by the required date; the price of gold, silver, copper and zinc; the demand for gold, silver, copper and zinc;
the ability to carry on exploration and development activities; the timely receipt of any required approvals; the ability to obtain
qualified personnel, equipment and services in a timely and cost-efficient manner; the ability to operate in a safe, efficient and
effective manner; and the regulatory framework regarding environmental matters, the renewal or extension of exploration
licences, and such other assumptions and factors as set out herein. Although East Africa has attempted to identify important
factors that could cause actual results to differ materially from those contained in forward-looking information, there may be
other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such
information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such
information. The Company does not update or revise forward looking information even if new information becomes available
unless legislation requires the Company do so. Accordingly, readers should not place undue reliance on forward-looking
information contained herein, except in accordance with applicable securities laws.
Neither 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.