TORONTO, Ontario, May 30, 2017 (GLOBE NEWSWIRE) -- Rio2 Limited (“Rio2” or the
“Company”) (TSX-V:RIO) announces today that the Company continues to strengthen its management team and provides
an update on its activities.
Senior Management Appointments
Rio2 is pleased to announce the appointments of Kathryn Johnson as Executive Vice President – Chief Financial
Officer and Corporate Secretary and Luc English as Country Manager – Nicaragua. Both Kathryn and Luc will assume their new
positions with the Company on 1 June 2017.
Kathryn Johnson is based in Vancouver and has over 10 years of experience in the mining industry, primarily in
Latin America. Kathryn brings extensive experience in accounting and finance, including financings, mergers and acquisitions,
project development, internal controls and financial reporting. Kathryn held various senior positions at Rio Alto Mining
Limited until acquired in 2015. Her last position was Chief Financial Officer and prior to that Vice President, Corporate
Controller and Corporate Reporting. While at Rio Alto Mining, Kathryn was a key member of the team that successfully
completed the acquisition of Sulliden Gold and the Shahuindo Gold Project for $300 million in 2014 and the subsequent sale of Rio
Alto to Tahoe Resources Inc. for $1.2Bn. Kathryn has also held the positions of Financial Reporting Contractor at Goldcorp,
Director of Finance at Tahoe Resources. She holds a BA with a double major in History and Political Science from the
University of British Columbia and is a CPA, CA who earned her chartered accountant designation while articling at
PricewaterhouseCoopers LLP in Vancouver. Kathryn Johnson has been granted an aggregate of 100,000 Restricted Share Units and
250,000 options to purchase Rio2 common shares at the exercise price of $1.71 per share, all pursuant to Rio2’s Share Incentive
Plan and Stock Option Plan. The grant of the RSUs and Options are subject to regulatory approval.
Kathryn replaces David D’Onofrio as Chief Financial Officer and Corporate Secretary. The Company wishes to
thank David for his contributions during the Company’s transition over the past two months.
Luc English is based in Nicaragua and has over 20 years’ experience as an Exploration Geologist and Manager. He
has spent the past 10 years in Nicaragua where he successfully led Condor Gold’s exploration team from concession acquisition,
through exploration and resource development to a pre-feasibility mining study on the La India Gold Project. He also recently
represented geological consultants CSA Global managing geotechnical drilling for a proposed interoceanic canal across Nicaragua.
His training as an exploration geologist was gained in Australia, Eritrea and Gabon on gold and multi-commodity exploration
projects. He has explored for a number of different commodities in a variety of different geological settings. He was the geologist
responsible for the resource definition and bankable feasibility study of two satellite open pits on the Coyote Gold Mine in
Central Australia, and prior to that for the resource definition of satellite open pits for the Jundee Gold Mine in Western
Australia. He has also worked as a technical consultant for the oil and gas industry in the UK and Middle East. Luc holds a PhD in
Geology from the University of Cambridge and a BSc in Geology from the University of Bristol. He is a Chartered Geologist with the
Geological Society of London and a European Geologist with the European Federation of Geologists, recognised as a “Competent
Person” under JORC, PERC and a “Qualified Person” under NI 43-101.
Project Acquisition Update
The Company continues to review numerous precious metals projects and companies for potential acquisition.
Management remains focused, disciplined and selective in its due diligence activities as projects must demonstrate the ability to
be developed into high margin, strong free cash flowing mining operations which in turn generate significant value accretion for
shareholders.
Gold Exploration Portfolio, Peru
As previously announced on April 10, 2017, Rio2 Limited, through its whole owned subsidiary Rio2 Exploraciones
S.A.C. has entered into a mining assignment and option agreement with Compañia Minera Milpo S.A.A. pursuant to which it has the
right and option to acquire all rights and interests in 7 gold exploration prospects totalling approximately 19,000 hectares in
Peru.
Rio2 has recently completed site visits to each of the prospects and is in the process of planning and
prioritizing a first phase exploration program for the coming months. Social and community fieldwork has commenced to facilitate
the gaining of social license for the work programs the Company is planning.
The Company will provide updates to shareholders as it advances its activities on these properties.
Nicaragua Strategy
Rio2 has recently applied for 10,000 hectares of exploration concessions in Nicaragua as the Company ranks the
country highly as a destination to do business in the mining sector in Latin America. Recognizing the mining sector’s potential to
boost the country’s gross domestic product and economic growth, the Nicaraguan government, through the Ministry of Energy and
Mines, is actively promoting investments by having established a solid legal framework and facilitating the development of mining
projects in the country.
Bordering Honduras to the north, and Costa Rica to the south, Nicaragua’s mining tradition dates back to the
nineteenth century and has since become one of the country’s most dynamic economic sectors.
Rio2 understands that less than 10% of the country is currently under exploration and all current mining
operations are taking place in three historical districts: the Golden Triangle (Bonanza, Siuna and Rosita), La Libertad/Santo
Domingo, and El Limón/La India. The Company intends to leverage off of Country Manager, Luc English’s ten years of experience of
exploring in the country, to acquire precious metals prospects that have the potential of being able to be developed into highly
profitable mining ventures.
The Company will provide updates to shareholders as it advances its activities in Nicaragua.
About Rio2
The focus of Rio2 is to compile an attractive portfolio of precious metals assets that can be developed into
mines and to assemble a highly experienced technical and corporate management team with a solid experience base of developing and
building mines in South, Central and North America. Through its strategy of evaluating and acquiring precious metals projects and
through a combination of organic exploration and development and strategic acquisitions, the management team intends to grow Rio2
and create long-term shareholder value through the development of high-margin, strong free cash flowing mining operations.
Reader Advisory
Forward-Looking Statements. This news release contains forward-looking statements. More particularly, this
document contains statements regarding the Company’s acquisition and exploration strategy and plans. Forward-looking information is
frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "scheduled",
"potential", or other similar words, or statements that certain events or conditions "may", "should" or "could" occur.
The forward-looking statements are based on certain key expectations and assumptions made by the Company,
including expectations and assumptions concerning timing of receipt of required regulatory approval and general economic,
operational and financing factors. Although the Company believes that the expectations and assumptions on which the forward-looking
statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can
give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by
their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently
anticipated due to a number of factors and risks.
The reader is cautioned that assumptions used in the preparation of such information, although considered
reasonable by the Company at the time of preparation, may prove to be incorrect and readers are cautioned not to place undue
reliance on forward-looking information, which speaks only as of the date hereof. The Company does not undertake any obligation to
release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after
the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities
laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION
Alex Black
Chief Executive Officer
alexb@rio2mining.com
416.570.3155
