Royal Roads Corp. and Buchans River Limited announced that their respective Boards of Directors approved a binding agreement to combine their assets and operations (Agreement). The Agreement provides that the business combination will be implemented by way of a plan of arrangement (Arrangement) pursuant to the Canada Business Corporations Act whereby all outstanding securities of Buchans River not already owned by Royal Roads will be exchanged for common shares, common share purchase warrants and options of Royal Roads. Under the terms of the Agreement, shareholders of Buchans River will receive 1.55 common shares of Royal Roads in exchange for each common share of Buchans River they own on the effective date of the Arrangement (Effective Date). In addition, all warrants and stock options of Buchans River outstanding on the Effective Date will be exchanged for economically equivalent warrants and options of Royal Roads, based upon the same exchange ratio.