EDMONTON, Sept. 3 /CNW Telbec/ - Mindoro Resources Ltd. (TSXV: MIO;
Frankfurt: WKN 906167) is pleased to report that a non binding letter
agreement (the "Agreement") has been signed with a member of the Gold Fields
group of companies, establishing the basic commercial framework whereby Gold
Fields may earn up to a 75% interest in each of Mindoro's El Paso, Lobo and
Talahib porphyry copper-gold projects located in the Batangas Province of
southern Luzon, the Philippines, as shown on the accompanying map.
Mindoro has granted Gold Fields a 90 day period within which to conduct
further due diligence. It is expected that a formal agreement will be
concluded during this period. During this period, Mindoro has granted Gold
Field exclusivity in relation to participation in these projects. In brief,
Gold Fields may earn up to a 75% interest in each of the three projects by
sole funding exploration and a feasibility study on each project, subject to
certain expenditure limits as described below. Mindoro will retain a
25 percent interest at a production decision. Gold Fields will manage each
project whilst it is farming into each project. Additional earn-in terms are
described in the section below entitled "About the Agreement".
Tony Climie, CEO of Mindoro commented; "This agreement represents an
important part of Mindoro's strategy going forward, which is to accelerate and
re-emphasize the advancement of the copper-gold projects on our target-rich
land packages, at the same time as we advance our Surigao nickel laterite
resources towards an integrated mining and processing operation. We welcome
this agreement with a company of Gold Fields stature, and see it as an
endorsement of the potential of our Batangas projects".
ABOUT THE AGREEMENT
- Gold Fields may earn a 51% interest in the El Paso project and the Lobo
project by spending $AU4,000,000 on the relevant project within
60 months of the farmin period formally commencing.
- In relation to the Talahib project Gold Fields may attain a 51%
interest by spending $AU2,000,000 for the Talahib project.
- To earn a 51% Gold Fields must maintain a minimum annual expenditure
commitment of $AU350,000 per project.
2nd Phase - feasibility
- After completing the first phase, Gold Fields may elect to continue
sole funding expenditure in relation to the relevant project.
- In doing so, Gold Fields may earn a further 24% interest in the
relevant project by completing a feasibility study or contributing a
milestone amount of expenditure.
- The milestone amount, for the El Paso project and the Lobo projects, is
$AU16,000,000 and is $AU12,000,000 for the Talahib project. For the
sake of clarity, these milestone amounts are in addition to the
expenditure contributed in the first phase.
ABOUT GOLD FIELDS
Gold Fields Limited is one of the world's largest un-hedged producers of
gold, providing investors with maximum leverage to the gold price. Gold Fields
has attributable production of approximately 4.0 million ounces per annum,
mineral reserves of 83 million ounces and mineral resources of 251 million
ounces. The Group employs some 50,000 permanent employees across its
operations and is listed on the JSE Limited South Africa (primary listing),
the New York Stock Exchange (NYSE) as well as the Dubai International
Financial Exchange (DIFX). Gold Field's project generation focuses on
high-quality exploration targets in emerging belts/camps worldwide based on
three selected deposit types, namely: Au-Cu porphyries, high sulphidation
epithermal systems and sediment-hosted orogenic gold deposits. The objective
is to develop a pipeline of early stage discoveries that have the potential to
develop into world-class gold mines.
Mindoro is a Tier 1 Issuer trading on the TSX Venture Exchange (MIO) and
the Frankfurt Stock Exchange (WKN 906167). Mindoro is focused on building
shareholder value through diverse resource exploration in the Philippines and
by advancing early stage opportunities to production or joint venture. In
keeping with this multi-commodity strategy, Mindoro has announced an initial
NI 43-101 compliant nickel-iron-cobalt resource estimate on its Agata North
project, where resource expansion drilling is on-going with five rigs, as well
as an initial NI 43-101 compliant gold-silver resource on its Kay Tanda
project. Mindoro has also identified 22 porphyry copper-gold prospects and is
involved in further advanced joint venture discussions. Mindoro is
well-financed, with an experienced team of exploration and mining
professionals, and has plans for multiple drill programs in late 2008 - early
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
This release may contain forward-looking statements including
management's assessments of future plans and operations, and expectations of
future production. These statements are based on current expectations that
involve a number of risks and uncertainties, which could cause actual results
to differ materially from those anticipated. These risks include, but are not
limited to, the risks associated with the mining and exploration industry
(e.g. operational risks in development, exploration and production; delays or
changes in plans with respect to exploration or development projects or
capital expenditures; the uncertainty of reserve estimates; the uncertainty of
estimates and projections relating to production). The assumptions used in the
preparation of such statements, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance should not
be placed on forward-looking statements.
For further information:
For further information: Investor Relations - Canada: Mindoro Resources
Ltd.: Penny Gould, President, (780) 413-8187, Toll Free: 1-877-413-8187,
firstname.lastname@example.org, www.mindoro.com; Renmark Financial Communications Inc.:
Barbara Komorowski, email@example.com; Jason Roy,
firstname.lastname@example.org, (514) 939-3989, Fax: (514) 939-3717,
www.renmarkfinancial.com; Investor Relations - Europe: ARGENTUMINVEST GmbH:
Richard H. Mayr, +49.9421.568899-0, Fax: +49.9421.568899-4,