HONG KONG, Aug. 17, 2012 (GLOBE NEWSWIRE) -- Yinfu Gold Corporation ("Yinfu" or the "Company") (OTCQB:ELRE) announced today that it has executed a Deed of Termination to cancel the Joyous Fame acquisition.
According to the signed Deed of Termination and Mutual Release, Wilson Huang Dong Sheng, Managing Director of Joyous Fame International Limited and the previous president as well as a director of Yinfu, now represents that the main asset, the Penglai gold mining operation, was unable to generate profits as originally envisaged without tremendous expenditure to satisfy the tightened regulations on mining and upgraded safety regulations issued by both the local provincial government and central government as a result of mining incidents that occurred in the past two years.
Mr. Tsap Wai Ping, CEO of Yinfu commented, "In addition to the representation made by Wilson Huang Dong Sheng, the previous management and Board of Directors has failed to turn over any documents, financial records or licenses proving ownership of the Penglai gold mine which made it impossible for us to continue forward with any further SEC filings or large acquisitions until this issue was settled."
The Company will cancel the most of the shares related to this acquisition.
Management is now free to focus its efforts on rebuilding the assets and business of the Company, rather than as in the past few months, on the previous clean-up issues left by the former board. The Company plans a rapid roll-up of resource mining acquisitions.
About Yinfu Gold Corp.
Yinfu Gold Corp. is a mineral exploration and mining company incorporated in the state of Wyoming. The Company owns the Abbots Brook Gold Claim in Newfoundland, Canada. Yinfu Gold trades on the OTCQB under the symbol "ELRE." The transfer agent is Transfer Online, Inc. of Portland, Oregon.
Forward-Looking Statements
Statements, which are not historical facts, are forward-looking statements. The Company, through its management makes forward-looking public statements concerning its expected future operations, performance and other developments. Such forward-looking statements are necessary estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. It is impossible to identify all such factors, which could cause actual results to differ materially from those estimated by the Company. They include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors which may be identified from time to time in the Company's public announcements.