Medinah Minerals, Inc. (Medinah) announces that it has returned 20,000,000 shares of American Sierra Gold Corp (OTCMarkets: AMNP) to American Sierra Gold Corp, without consideration. Medinah Directors Gary Goodin and Italo Volante are also directors of American Sierra Gold Corp and recused themselves from taking part in this decision. Some background information regarding the sale follows.
On February 22, 2013, Medinah announced that it had acquired a twenty percent (20%) interest in a Chilean corporation, Sociedad Contractual Minera American Medinah Gold, referred to as “AMG” or American Medinah Gold. In exchange for its 20% interest in AMG, Medinah issued 20,000,000 shares of its Common stock, having a transaction value of approximately $1,200,000 at the time. AMG was founded by Medinah’s former President, Juan Jose Quijano Fernandez, and his family during 2012.
On March 16, 2015, Medinah entered into a Share Purchase Agreement with American Sierra Gold Corp (AMNP), wherein Medinah received 20,000,000 shares of AMNP in exchange for its interest in AMG.
Long after the sale of the AMG shares Medinah was notified that the State of Chile removed all title and ownership of the various JOTA claims in which American Sierra Gold Corp. and Medinah Minerals, Inc. (MDMN) had ownership rights.
Medinah’s current Board of Directors has decided the most expedient and forthright course of action is to return all consideration that was paid for an asset that was misrepresented. Further, the Board has also made the determination that the shares of AMG sold to AMNP are of dubious value and therefore are not requesting that they be returned.
Submitted on behalf of the Board of Directors