VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/14/12 -- Encore Renaissance Resources Corporation ('The Company') (TSX VENTURE: EZ) (FRANKFURT: OUH1) (PINKSHEETS: ERRCF) announces that an annual general and special meeting of the shareholders is scheduled for April 4, 2012 (the "Meeting"), where shareholders will be asked to approve a change of name from "Encore Renaissance Resources Corp." to "WestKam Gold Corp." (the "Name Change") and a consolidation of the Company's common shares on a basis of one (1) post-consolidation share for up to every ten (10) pre-consolidation shares, or such lesser whole number of pre-consolidation shares as may be determined by the Board of Directors (the "Consolidation").
The Company currently has 295,481,077 issued and outstanding common shares. In the event that the Consolidation is conducted on a 10 for 1 basis, the Company would have approximately 29,548,107 shares outstanding following the Consolidation, however; the exact number of post-consolidation shares will vary depending upon the treatment of fractions which will occur when each shareholder's holdings are consolidated. In the event the Consolidation would otherwise result in the issuance of a fractional share, no fractional share will be issued and such fraction will be rounded down to the nearest whole number. Outstanding stock options and warrants will be adjusted to the Consolidation ratio. The proposed share consolidation and name change is subject to approval, by special resolution, by the shareholders of the Company and to the approval of the TSX Venture Exchange.
It is management's opinion that the Company's current issued and outstanding share capital is not favourable to attracting new equity investment in the Company. Management believes that an improvement to the Company's capital structure is required in order for the Company to fund future exploration and business development programs. Details of the Consolidation are contained in the Company's information circular to be mailed to the Company's shareholders on March 12, 2012 and filed on SEDAR at www.sedar.com.
This release may contain statements that are considered as forward-looking statements and are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Company's periodic filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Company does not assume the obligation to update any forward-looking statement.
The TSX-V has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Encore Renaissance Resources Corporation