Buffalo Gold Ltd. Signs MOU for Initial C$13 Million Investment Deal with China Railway Resources Inc.

Vancouver-based gold mining company Buffalo Gold Ltd. has signed a memorandum of understanding (MOU) with China Railway Resources Co. LTD. (CRRC), a wholly-owned subsidiary of China Railway Group Limited (CREC) to invest directly into the company and finance the Mt Kare project in Papua New Guinea and grassroots projects in Australia. Under the terms of the MOU, CRRC intends to: make an equity investment into Buffalo of C$3 million at $0.10 for each unit and project investment of C$7.5 million into Buffalo’s Mt Kare JV with Madison Minerals to earn 54% of the project; earn up to 72% in the project by making a cash payment of C$5 million to the Mt Kare JV; and make a total project investment into Buffalo’s Australian portfolio of C$2.5 million to earn 60%. CREC is a large civil construction company.