VIRGINIA CITY, Nev., Feb. 26, 2004 (PRIMEZONE) -- GoldSpring, Inc. (OTCBB:GSPG) is pleased to announce that its major shareholders, officers, directors, management and certain friends of GoldSpring have volunteered to have their restricted common shares, issued pursuant to the Plan of Reorganization in 2003, restricted for a additional period of six months until September 15, 2004. This action has not been required by the AMEX and is a gesture of good faith to further set the stage for an attractive financing opportunity for Institutional Investors in GoldSpring that is being aggressively pursued.
There are approximately 115,000,000 GoldSpring common shares that will remain restricted until September 15, 2004 including 39.6 million held by the Jubilee Investment Trust. Pursuant to rule 144, the above common shares carry a 2 year restriction period but may qualify for sale in a brokered transaction after the first year. This voluntary six month restriction extension impacts the period for brokered transaction, but does not affect the overall 2 year restriction period. Furthermore, the majority of the shares being voluntarily restricted are also subject to rule 144 insider trading disclosure requirements.
"During this time of substantial growth and development for our young Company, Management, as the major shareholders, chooses to demonstrate its commitment to the overall success of our Company," states John Cook, President. "It is encouraging that several of our friends have also elected to join us for the longer haul. As custodians for the shareholders, we believe that shareholder value is of paramount importance in building a successful Company."
The planned move to the AMEX will place the Company squarely in view of institutional and sophisticated investors. It's Management's view that this move will provide the Company with a stable platform for continued growth.
Further information will be forthcoming regarding financing when available for publication.
Statements contained in this press release, which are not historical facts, are forward looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based largely on the Company's expectations and are subject to a number of risks and uncertainties beyond the company's control, including but not limited to economic, competitive and other factors affecting the Company's operations, management team effectiveness, expansion strategies, available financing, market prices and recovery costs, government regulations involving the Company, facts and events not known at the time of this release, and other factors discussed in the Company's filings with the Securities and Exchange Commission. These statements are not guarantees of future performance and readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company undertakes no obligation to update publicly any forward-looking statements