TORONTO, Feb. 9 /CNW/ - GobiMin Inc. ("GobiMin" or the "Company") is
pleased to announce that on February 6, 2009, it has received the second
installment payment of approximately CAD$17.6 million, bringing the total
amount received from Xinjiang Xinxin Mining Industry Co., Ltd. ("Xinxin") to
RMB344.63 million (CAD$61.50 million). This amount represents 70% of the total
sale price for its three nickel-copper properties (Yellow Mountain East,
Xiangshan and Yellow Mountain) in Hami, Xinjiang Uygur Autonomous Region
("Xinjiang") of the People's Republic of China ("China") as described in its
press release dated November 24, 2008.
On or before February 28, 2009 or when the transfer is approved and
registered by the Chinese regulatory authority, whichever is earliest, the
final non-refundable installment (30% of the sale price) of RMB147.70 million
(CAD$26.4 million), after deducting the Chinese withholding tax (estimated to
be CAD$5 million), will be paid to the Company.
Exchange rate used: CAD $1= RMB 5.6
With its CAD$71 million cash position (CAD$1.0 cash per share) as at
December 31, 2008, plus the cash received on February 6, 2009 and expected to
be received by the end of February 2009, GobiMin will have approximately
CAD$115.6 million cash (CAD$1.63 per share). GobiMin is well positioned to
advance its mineral exploration and development programs such as its 40%
interest in the Yanxi Copper Deposit in Hami, Xinjiang where the Company has
received a NI 43-101 compliant Mineral Resource Estimate from Scott Wilson RPA
in October 2008. The Company is planning the development of this project,
using low-cost mining methods.
GobiMin has four other joint ventures on base metal projects in Xinjiang.
GobiMin continues to aggressively seek opportunities to acquire high grade
mining projects either at the exploration, pre-production or production
FORWARD-LOOKING STATEMENTS AND RISK FACTORS
This release contains certain forward-looking statements. These
forward-looking statements are subject to a variety of risks and uncertainties
beyond the Company's ability to control or predict which could cause actual
events or results to differ materially from those anticipated in such
forward-looking statements. These risks include, but are not limited to, those
associated with our capacity to finance our activities, the price of minerals
and other commodities, reliance on subcontractors and key personnel, and other
risks and uncertainties detailed from time-to-time in our filings with the
Canadian securities commissions. There is no guarantee that the transaction as
disclosed in its press release dated November 24, 2008 will be completed or
that its terms will not be varied.
Readers should not place undue reliance on forward-looking statements,
given that (i) our actual results could differ materially from a conclusion,
forecast or projection in the forward-looking information, and (ii) certain
material factors or assumptions which were applied in drawing a conclusion or
making a forecast or projection as reflected in the forward-looking
information, could prove to be inaccurate. Additional information about (i)
the material factors that could cause actual results to differ materially from
the conclusion, forecast or projection in the forward-looking information, and
(ii) the material factors or assumptions that were applied in drawing a
conclusion or making a forecast or projection as reflected in the
forward-looking information, is contained in the Company's annual report and
other documents filed from time to time with the Canadian securities
commissions and which are available at www.sedar.com.
"Neither TSX Venture Exchange nor the Investment Industry Regulatory
Organization of Canada accepts responsibility for the adequacy or
accuracy of this release."
To receive GobiMin press releases by email, send a message to info@
gobimin.com and specify "GobiMin press releases" on the subject line.
For further information:
For further information: James Xiang, Chief Financial Officer, GobiMin
Inc., Tel: (416) 915-0133, email@example.com, www.gobimin.com