GOLDEN RIM RESOURCES LTD (ASX: GMR)
ASX/MEDIA RELEASE 1 AUGUST 2008
GOLDEN RIM AND ROYAL GROUP SIGN A STRATEGIC ALLIANCE
Highlights
?? Golden Rim and Royal Group have agreed to enter into a Strategic Alliance to acquire major minerals projects. Initially the alliance partners intend to focus on iron ore, gold and phosphate projects in northern Africa.
?? Royal Group is one of the largest business and investment houses in the United Arab Emirates. The Royal Group had decided to expand their operations into the resources industry and selected Golden Rim as its alliance partner..
?? Golden Rim and the Royal Group will together be identifying, assessing and securing suitable minerals project opportunities. It is the intention of the Alliance to secure direct interests in new projects.
?? On behalf of the alliance partners, GMR will manage minerals exploration, mine feasibility studies and mine developments.
?? Royal Group will take up a placement of shares in GMR and intends to maintain a significant strategic equity interest in GMR.
The Directors of Golden Rim Resources Ltd (�Golden Rim�) are pleased to announce it has executed an alliance agreement with PAL Technology Services LLC, member of the Royal Group of Companies based in Abu Dhabi (�PAL�), with the objective of the alliance acquiring major minerals projects. Initially, the alliance intends to focus on projects in northern Africa and pursue significant opportunities in iron ore, gold and phosphate.
The Agreement provides for the parties to set up a purpose specific company (GMR 35% and Royal Group 65% equity interest respectively), to undertake operations for the GMR/ Royal Group alliance. GMR will be responsible for the management of that company, including managing the identification, assessment, exploration and development of the projects. Initial funding will be by way of loans from the parties, supplemented by project funding as projects are developed.
GMR and Royal Group believe they have complimentary strengths and synergies, which will greatly contribute towards the success of the Alliance. Royal Group has a vast network of business contacts and extensive operating experience with large developments in many countries, along with the financial capacity to make major investments. GMR has extensive experience in minerals exploration and mine development. Its board and staff have been involved with a number of successful minerals projects on several continents.
Royal Group Investment in GMR
Royal Group, through PAL, will purchase and intends to maintain a significant strategic interest in GMR. PAL has agreed to subscribe for 16,375,000 shares at A$0.08 per share (for a total of A$1.31 million), subject to shareholder approval. This subscription will secure PAL an initial 4.9% strategic interest in the expanded share capital of GMR. A notice of meeting seeking shareholder approval for the issue of shares will be dispatched shortly In future fund raisings, GMR has agreed to allow PAL to increase this interest to 19.95% based on the share price at the time of these raisings.
PAL�s participation at this level will be subject to Australian Foreign Investment Review Board (�FIRB�) approval.
About the Royal Group
Royal Group is a conglomerate of 60 large and medium sized companies based in the United Arab Emirates (UAE), with a significant and growing global presence in:
� International Property Development
� Finance and Investment
� Building, Landscape and Marine Construction
� Project Management, IT and Consulting
� Power, Desalination and Waste Utility Development
� Manufacturing and Industry
� Communications and Electronics Media
� Accommodation, Hospitality and Retail
Launched in the late 1990�s, Royal Group currently employs over 10,000 people from a wide variety of countries and cultures and is supported through its head office in the capital of the UAE, Abu Dhabi. The Chairman of the Group is His Highness Sheikh Tahnoon bin Zayed Al Nahyan.
Royal Group has expanded at a tremendous pace and is one of the largest business and investment holding houses in the UAE today. It has a significant and growing presence internationally, with a broad spectrum of investments and partners throughout the Middle East, Asia, USA and South America. One of Royal Group�s current projects in property development is the 6.5 million square metre, US$35 billion Al Reem Island Project. Royal Group is the master developer of over 60% of this project which will become Abu Dhabi�s new city centre.
Should you require any further information, please do not hesitate to contact Golden Rim.
Yours faithfully
GOLDEN RIM RESOURCES LTD
CRAIG MACKAY
Managing Director
The information in this report, insofar as it relates to exploration results, is based on information compiled by Mr Craig Mackay.
Mr Mackay is a member of the Australasian Institute of Mining and Metallurgy and has sufficient experience which is relevant to
the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking, to qualify as a
Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves. Mr Mackay consults to the Company. This report accurately reflects the information compiled by
Mr Mackay and Mr Mackay consents to the inclusion in the report of the matters based on his information in the form and
context in which it appears.
Golden Rim Resources Ltd
ABN 39 006 710 774
Level 2, 10 Outram Street, West Perth, WA 6005, Australia
Telephone: +61 8 9481 5758
Facsimile: +61 8 9481 5759
ASX Code : GMR
Issued Shares : 84,795,087
Unlisted Options : 32,150,000
Directors :
Mr Rick Crabb � Chairman
Mr Craig Mackay � Managing Director
Mr Gilbert Rodgers � Executive Dir/Company Sec
Mr Glenister Lamont � Non-executive Director
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