TSX-V Symbol: BCU
VANCOUVER, Aug. 19 /CNW Telbec/ - Bell Copper Corporation ("Bell Copper" or the "Company") (TSX-V Symbol: BCU) announces that the Company's wholly owned Mexican subsidiary Minera Montoro, S.A. de C.V. ("Montoro") has concluded an agreement with Argel Avilés Cabrera ("Avilés") whereby Avilés has been granted the exclusive right to the exploitation of iron ore from Mining Lot 14 of the Company's La Balsa project near Lazaro Cardenas, Michoacan, Mexico. Under the terms of the Agreement Avilés agrees to the following:
1. To make payment of US$ 6.00 per extracted ton plus IVA for a minimum
of 40,000 tons;
2. To start extraction within 60 days from the date of the Agreement;
3. To make an advance payment prior to any extraction of US$ 25,000.00;
4. To make weekly prepayments of US$1000.00 from the date of signing
until the date of initial extraction;
5. To make payment for iron ore shipments every 30 days or risk
cancellation of the contract after 60 days;
6. To maintain a minimum extraction rate of 6400 tons per three month
period or risk cancellation of the contract;
7. To tender shipment documents to Montoro indicating the registered tons
of each shipment with payment whether shipment is by rail or ocean;
8. To provide and pay for all required permits, environmental studies and
regulatory approvals required for such exploitation activities in
9. To exempt Montoro of all liabilities related to the exploitation of
the iron ore.
The term of the Agreement will be for a minimum of one year or until the iron ore is exhausted or the maximum of 40,000 tons is reached. Minera Montoro's iron ore exploitation agreement with Veaje S. A. de C. V. on La Balsa Mining Lots 12 and 13 remains in effect.
In order to define additional iron ore resources on the La Balsa property that might be rapidly developed under similar exploitation agreements, the Company is starting a program of follow-up sampling and ground magnetic surveys on other parts of its La Balsa claims. This exploration work focuses on known prominent aeromagnetic anomalies and iron geochemical anomalies identified in 2007. The first follow-up work will be conducted on a prominent aeromagnetic anomaly on Mining Lot 5.
La Balsa Project - Iron Ore
La Balsa lies in the middle of a 30-kilometer-long prolific belt of iron deposits extending from Arcelor-Mittal's mines on the west to the Company's Mining Lot 14 on the east. The western third of the La Balsa claim block, largely occupied by Balsa 13 contains numerous extremely high aeromagnetic anomalies believed to be magnetite bodies.
Further to the iron ore covered by the above exploitation agreement, Mining Lot 14 covers 2400 hectares centered on a very large aeromagnetic anomaly. Prospecting in this area has produced magnetite stream cobbles that are believed to be sourced from the area of the magnetic anomaly. A small third-party mining operation on the east side of Mining Lot 14 is currently shipping lump magnetite ore to the port at Lazaro Cardenas, 10 kilometers to the southwest.
For a map of the La Balsa area and the surrounding operations of Arcelor-Mittal:
For the purposes of this news release, the Qualified Person is Timothy Marsh, Ph.D., P.Eng., the Company's President.
About Bell Copper
Bell Copper is focused on the exploration and development of copper assets in the Americas through internal efforts and via strategic partnerships.
More information on Bell Copper: www.bellcopper.net
On behalf of the Board of Directors of
Bell Copper Corporation
Michael Werner, CEO & Director
"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."
SOURCE Bell Copper Corporation
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