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Re: News - Monday, August 25, 2008
Infinito Will Advance Arbitration Process on Las Cristinas
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Infinito Gold Ltd. (IG, TSX Venture Exchange) ("Infinito Gold" or the
"Company") is pleased to announce that the International Center for the
Settlement of Investment Disputes ("ICSID") has issued a Decision on
Jurisdiction ("Decision") in the matter of the arbitration between the
Company and the Bolivarian Republic of Venezuela ("Venezuela") dated
August 22, 2008. The Decision concludes the process commenced in July
of 2006 when Venezuela raised objections to the Arbitral Tribunal's
jurisdiction to rule on the Las Cristinas case pursuant to the
Agreement Between the Government of Canada and the Government of the
Republic of Venezuela for the Promotion and Protection of Investments.
Venezuela raised four objections pertaining to the jurisdiction of the
Arbitral Tribunal and the Decision states that three of these
objections are dismissed and one will be joined to the merits of the
case. The Company maintains, among other things, that its rights to
mine Las Cristinas were expropriated in a discriminatory manner and
without prompt, adequate and effective compensation by Venezuela after
an investment of approximately US$185 million for the exploration and
development of the properties that led to a determination of reserves
in excess of 12 million ounces of gold and over 1 billion pounds of
copper. The Company is requesting restitution of its contractual
rights to mine the property plus damages or, in lieu of restitution,
monetary damages of approximately US$ 1.1 billion representing costs
and lost profits.
The Arbitral Tribunal has indicated that, after consultation with the
parties involved, it will issue an Order for the further procedure
which will mean a re-commencement of the arbitration merits process
that was suspended in July of 2006 when the jurisdictional issue was
raised by Venezuela.
While the company is confident in the validity of its position, there
can be no assurance that it will be successful in all, or part, of its
claims and any award granted will be shared with other parties
according to pre-existing contractual agreements.
Caution Regarding Forward-Looking Information and Statements
Certain statements in this press release address future events and
conditions and, as such, involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance or
achievements to be materially different from any future results,
performance or achievements expressed or implied by the statements.
These factors include, among others, the inherent risks involved in the
exploration and development of mineral properties, the uncertainties
involved in interpreting drilling results and other geological data,
fluctuating metal prices, the possibility of project cost overruns or
unanticipated costs and expenses, uncertainties relating to the
availability and costs of financing needed in the future, the
possibility that all necessary governmental and regulatory approvals
will not be received, and the availability of a qualified workforce and
third party contractors necessary for the development and operation of
a mine. The Company undertakes no obligation to update these
forward-looking information or statements if circumstances or
management's estimates or opinions should change. The reader is
cautioned not to place undue reliance on forward-looking information or
statements.
INFINITO GOLD LTD.
John Morgan
President
"The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release."
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Copyright (c) 2008 INFINITO GOLD LTD. (IG) All rights reserved. For
more information visit our website at http://www.infinitogold.com/ or
send mailto:info@infinitogold.com
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