Pursuant to the terms of the royalty purchase agreement entered into among the Company, Premier Royalty and Premier on April 24, 2012 (the "Agreement"), Premier has made to Aberdeen a cash payment in the amount of $11,500,000 and issued a convertible debenture payable to Aberdeen in the amount of $9,400,000 (the "Convertible Debenture"). The unpaid amounts owing under the Convertible Debenture shall accrue interest at a rate of 8% per annum and upon Premier Royalty completing a public offering, or any other comparable going public transaction (a "Going Public Transaction"), the Convertible Debenture shall automatically convert into that number of common shares of Premier Royalty equal to the principal amount and accrued interest divided by the amount equal to the offering price or deemed price in connection with the Going Public Transaction less a 10% discount.

In the event that a Going Public Transaction is not completed on or before May 31, 2013 the principal amount and accrued interest under the Convertible Debenture shall be repaid by Premier Royalty in cash to Aberdeen in full, or if Premier Royalty elects, and subject to the approval of Premier, Premier Gold shall satisfy the Convertible Debenture on Premier Royalty's behalf by issuing that number of common shares of Premier Gold equal to the principal amount and accrued interest divided by the volume weighted average price of the common shares of Premier Gold for the five trading days immediately prior to the May 31, 2013.

Further, in the event Premier Royalty completes a Going Public Transaction, Premier Royalty shall issue to Aberdeen that number of warrants of Premier Royalty equal to 0.5 multiplied by the number of common shares of Premier Royalty issued under the Convertible Debenture (each whole warrant, a "Warrant"). Each Warrant shall entitle Aberdeen to acquire one common share of Premier Royalty at a price representing a 25% premium to the price per Premier Royalty common share issued in connection with a Going Public Transaction for a period of two years from the closing date of the Going Public Transaction.

George Faught, the Chief Executive Officer of Aberdeen, commented, "We are pleased to have completed the sale of our royalties, which represents the realization of approximately $0.24 per share. It is worth highlighting that we have received a total return of approximately $49 million on our original US$10 million royalty loan investment. We intend to use the proceeds from the sale to enhance our actively managed investment portfolio to maximize shareholder value."

David Stein, the President and Chief Operating Officer of the Company, commented, "This strategic transaction also gives us a large stake in Premier Royalty, an exciting new royalty company with a growing gold royalty portfolio. We are seeing many interesting investment opportunities and this cash injection will allow us to pursue our core business and take advantage of this weak market."