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EURO Ressources (0JSG)

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Monday 05 December, 2011

EURO Ressources

EURO Ressources :EURO RESSOURCES ENTERS INTO AN OPTION AGREEMENT WITH COLUMBUS GOLD CORPORATION






 EURO RESSOURCES ENTERS INTO AN OPTION AGREEMENT WITH COLUMBUS GOLD CORPORATION

PARIS, France, December 5, 2011:  EURO Ressources S.A. ("EURO") (Paris: EUR)
today announced that it has entered into an option agreement with Columbus Gold
Corporation ("Columbus") (TSX-V: CGT) that would allow for the restructuring of
the Paul Isnard royalty held by EURO on properties in French Guiana (the
"Option").  The Paul Isnard properties comprise the eight mineral concessions
and an application for the operating permit (the "PEX") to replace an
exploration permit.

Brian Trnkus, EURO'S Directeur-General, stated: "We believe that the
restructuring of the Paul Isnard royalty provides significant benefits to EURO.
The Option provides EURO with a cash payment, allows EURO to participate in the
success of Columbus through a pre-set share position and ongoing participation
in the Paul Isnard properties through a retained net smelter return royalty. We
also believe that the restructuring will pave the way for Columbus to
aggressively move forward on these properties and EURO will participate in that
success."

The Option provides Columbus with the ability to effectively purchase from EURO
the existing Paul Isnard royalty in return for $83,333 in cash, shares of
Columbus and a retained net smelter royalty. The Option is only exercisable when
Columbus has earned a 100% direct or indirect interest in the Paul Isnard
properties and EURO maintains the right to compel Columbus to exercise the
Option. The Option expires on July 30, 2015 if not exercised.

Key terms of the option are listed below:

Pre-exercise payments to EURO:

  * Upfront payment of C$250,000, to be paid upon receipt of approval by the TSX
    Venture Exchange, comprised of the following:
      * C$166,667 in shares of Columbus at the 20-day volume weighted average
        price, and
      * C$83,333 in cash.

  * Option maintenance fee of C$50,000 cash on each anniversary date of the
    agreement

Optional payments to EURO, if exercised, include:

  * C$4.2 million cash,
  * 12,865,600 shares of Columbus (approximately 12.5%) subject to possible
    upward adjustments based on certain events and the volume weighted average
    price at the time of exercise, and
  * A 1.8% net smelter royalty on the first 2 million ounces of gold followed by
    a 0.9% net smelter royalty on the next 3 million ounces of gold.  This
    royalty is capped at 5 million ounces.

The option agreement is subject to approval by the TSX Venture Exchange.

About EURO

EURO is a French company whose principal asset is the Rosebel Royalty on gold
production at the Rosebel mine operated by IAMGOLD Corporation ("IAMGOLD").
EURO has approximately 62.5 million shares outstanding. Since December
17, 2008, EURO is a majority-owned subsidiary of IAMGOLD.  IAMGOLD directly owns
approximately 86% of EURO.

Statements Regarding Forward-Looking Information:   Some statements in this news
release are forward-looking statements. Investors are cautioned that forward-
looking statements are inherently uncertain and involve risks and
uncertainties.   There can be no assurance that future developments affecting
the Company will be those anticipated by management.

Not for distribution to United States newswire services or for dissemination in
the United States. The securities referred to herein have not been registered
under the United States Securities Act of 1933, as amended (the "Securities
Act"), and may not be offered or sold in the United States or to a U.S. person
absent registration, or an applicable exemption from the registration
requirements of, the Securities Act.

 Additional information relating to EURO Ressources S.A. is available on SEDAR
at www.sedar.com.  Further requests for information should be addressed to:

Brian Trnkus
Directeur-Général
Tel:+1 4169334739
Email :[email protected]

Susanne A. Hermans
Vice-President Finance
Tél.: +1 303 204 7771
Email :[email protected]






EURO RESSOURCES ENTERS INTO AN OPTION AGREEMENT WITH COLUMBUS GOLD COR: 


http://hugin.info/143433/R/1569262/487776.pdf




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Source: EURO Ressources via Thomson Reuters ONE

[HUG#1569262]

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