Tuesday, May 05, 2009
Mindoro And Gold
Fields Sign Memorandum Of Agreement
View News Release in PDF Format
EDMONTON, Alberta; May 5, 2009 - Mindoro Resources Ltd. (TSXV: MIO;
Frankfurt: WKN 906167) is pleased to report that a Memorandum of Agreement
(the "Agreement") has been signed with a member of the Gold
Fields Group of Companies whereby Gold Fields may earn up to a 75 percent
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.
Gold Fields may earn up to a 75 percent 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. Gold
Fields will manage each project whilst it is farming in. Additional earn-in
terms are described in the section below entitled "About the
Agreement".
Gold Fields has advised a forecast budget of approximately AU$2M for the
first stage of exploration which is scheduled over the next twelve months. The
proposed budget will be used to drill test several advanced targets on the El Paso and Lobo
Projects and also fund ongoing target definition work on the Talahib
Project and the remainder of the tenements. Mindoro
has been advised that Gold Fields is considering the following scope of
work on the projects:
LOBO AND EL PASO WORK PROGRAM
1. Infill and extension of soil geochemistry, ground geophysical
surveys (IP and magnetics). Detailed mapping within the area covering the
Pica porphyry copper-gold prospect, Old Lobo copper mine, and SW Breccia
epithermal gold resource on the Lobo Project, and covering the Calantas and
Mulawin targets on the El Paso Project.
2.
Approximately 2,000 meters of
diamond drilling on highest ranked targets on both the Lobo and El Paso
Projects. Gold Fields is in the process of selecting the drill contractor.
TALAHIB PROPOSED WORK PROGRAM
The prospect area is characterised by a series of phyllic and
sericite-chlorite-clay altered diorite and microdiorite intrusions in
association with an area of encouraging stream sediment geochemical
sampling with anomalous gold and copper in both stream sediment and grab
samples. Continued surface reconnaissance mapping and sampling is therefore
being considered in order to define priority targets for follow-up grid
soil sampling and supporting IP and ground magnetic surveys later in the
year.
ABOUT THE AGREEMENT
1st Phase
- Gold
Fields may earn a 51 percent 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 percent
interest by spending $AU2,000,000 for the Talahib project.
- To
earn a 51 percent 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 percent 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. 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.
ABOUT MINDORO
Mindoro is a Tier 1 Issuer trading on the TSX
Venture Exchange (MIO) and the Frankfurt Stock Exchange (WKN 906167). Mindoro
is focused on gold, copper-gold and nickel exploration in the Philippines
with a strategy of advancing early stage opportunities to production or
joint venture. Mindoro has NI 43-101 resource estimates on its Agata North
nickel-cobalt project and on both its Lobo (SWB) and Archangel
(Kay Tanda) gold-silver projects. Mindoro
has identified 22 porphyry copper-gold prospects and has a Memorandum of
Understanding with Avocet Mining and a Memorandum of Agreement with Gold
Fields covering its Batangas projects.
Mindoro is well positioned to capitalize on
the global demand for gold in 2009 with plans underway to drill the Kay
Tanda and Lobo gold and copper-gold projects, funded by Avocet and Gold
Fields, and drill the American Tunnels gold/copper-gold project. Additional
2009 objectives include finalizing one to two additional joint venture
arrangements on Mindoro's porphyry
copper-gold prospects at Pan de Azucar and Surigao and identifying a
suitable partner to fund development of the significant Agata North
nickel-cobalt resource.
For further information, contact:
INVESTOR RELATIONS - CANADA
Mindoro Resources Ltd.
Penny Gould, President: penny@mindoro.com
Tel: 780.413.8187 or Toll Free: 1.877.413.8187
www.mindoro.com
Renmark Financial Communications Inc.
Barbara Komorowski: bkomorowski@renmarkfinancial.com
Jason Roy: jroy@renmarkfinancial.com
Tel: 514.939.3989
www.renmarkfinancial.com
INVESTOR RELATIONS -- EUROPE
Robert Sarcher: robert@mindoro.com
Tel. 49 821 6089051
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 and the uncertainty of the
availability of capital). 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.
You can also view this News
Release on our website at:
http://www.mindoro.com/s/PressReleases.asp?ReportID=346763