Thursday, September 22, 2011
Abacus' Ajax JV and New Gold sign Asset Exchange Agreement
Vancouver, British Columbia - September 22, 2011. Abacus Mining & Exploration Corporation (TSXV: AME "Abacus") announces that its 49% owned joint venture company, KGHM Ajax Mining Inc. ( "Ajax"), has signed and completed the transactions pursuant to an Asset Exchange Agreement with New Gold Inc. ("New Gold") for certain assets and property claims in the Afton-Ajax mining area and New Gold's 10% net profits interest (NPI) royalty. The 10% NPI covers certain mineral claims within the Ajax pit area.
As part of a previous Asset Purchase Agreement between Abacus, Teck Resources Limited and Afton Operating Corporation, Abacus had acquired the Afton mill building, office and maintenance shop ("Teck buildings").
New Gold has acquired from Ajax the Teck buildings and the lot on which they are located. These buildings are not currently being used by Ajax and are not required for future operations.
In exchange, Ajax has acquired from New Gold the NPI royalty (for subsequent cancellation) and mining claims which extend Ajax's claim block to the north of the proposed Ajax mining area.
Jim Excell, President & CEO of Abacus commented, "The agreement with New Gold settles certain access and ownership issues that are mutually beneficial and brings efficiencies to both our operations. It also further strengthens our ownership of the Ajax project through the cancellation of New Gold's 10% NPI. With the Feasibility Study in the final stage of completion and the environmental review and permitting process well underway, we anticipate an exciting and eventful fall."
On Behalf of the Board,
ABACUS MINING AND EXPLORATION CORPORATION
James D. Excell
President & CEO
jexcell@amemining.com
Donna Yoshimatsu
Director, Investor Relations
dyoshimatsu@amemining.com
About Abacus
Abacus Mining is an exploration and mine development company focused on the development of the Ajax copper-gold project located near Kamloops, B.C. through the KGHM Ajax Joint Venture with KGHM Polska Miedz SA. The project has a positive preliminary economic assessment report (June 22, 2009) that contemplates a 60,000 tonne per day operation producing an average of approximately 110 million pounds of copper (approx. 50,000 tonnes) and 100,000 ounces of gold in concentrate annually. A Feasibility Study is in the final stage of completion and is expected to be available in Autumn 2011. The environmental review and permitting process was initiated in January of this year with the submission of the Project Description, a copy of which is available on the Company's website and www.eao.gov.bc.ca.
Forward-Looking Information
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Abacus Mining and Exploration Corp. (the "Company") expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
You can also view this News Release on our website at:
http://www.amemining.com/s/NewsReleases.asp?ReportID=480641
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