Mr. David Baker reports
ARBITRATION PANEL ISSUES DECLARATION THAT GOLDBROOK ENTITLED TO 25%INTEREST IN NUNAVIK NICKEL PROJECT
As Goldbrook Ventures Inc. announced onOct. 20, 2010, Goldbrook commenced an arbitration pursuant to theshareholder, joint bid and operating agreement between Jilin Jien NickelIndustry Co. Ltd.,Jien International Investment Ltd. and Jien Canada Mining Ltd., datedAug. 6, 2009, against Jilin Jien Nickel Industry and its affiliates.
The arbitration was in respect of Jilin Jien's purported issuance of 494voting common shares ofJien Canada Mining Ltd. that would reduce Goldbrook's percentage ofvotingshares and, consequently, Goldbrook's interest in the Nunavik nickelproject from 25 per cent to 4.21 per cent. Today the arbitrationtribunal issued a partial final award in respect of thearbitration.
The arbitration tribunal found that Goldbrook is entitled under the shareholder agreement tobe the holder of 25 per cent of the voting shares of Jien Canada and that the issuance of 494 votingshares that would have effected the dilution was not authorized by, and was contrary to, theshareholder agreement.
The tribunal further directed that if Goldbrook intends to seek an award directing the steps to betaken to restore its 25-per-cent shareholding beyond the declarations made in the award, that thetribunal requires submissions from the parties on that issue. The tribunal has reserved itsjurisdiction to decide all matters relating to costs until any further submissions have been made.
Goldbrook intends to pursue any further steps necessary in order to restore its 25-per-cent interest in theNunavik nickel project.
We seek Safe Harbor.