Novamin accepts Breakwater offer

The board of Novamin Inc. has accepted a takeover offer by Breakwater Resources, subject to the completion of a definitive agreement.

Terms of the proposal would see Breakwater issue one share for two Novamin. The offer is for 100% of the company. All Novamin outstanding warrants will be convertible into Breakwater common shares on the same basis upon exercise. Fully diluted, Novamin will have about 10.5 million shares outstanding.

Novamin President Robert Ginn says Breakwater’s operational expertise will be a major boost to Novamin whose strengths are primarily in the exploration field. Breakwater stands to benefit from Novamin’s considerable exploration expertise and from its extensive property holdings. Mr Ginn confirms that Novamin has three properties near feasibility, including the Rundle gold project, 65 miles southwest of Timmins, Ont.