TSX VENTURE EXCHANGE =MTO 62,199,624 shares
Metanor now holds 100% of Bachelor Property
Update on Bachelor and Barry Properties
No Financial Exposure to ABCP
September 4th, 2007 - Val-d'or, Quebec, Canada: Metanor Resources Inc. ("Metanor" or the "Company") announces an agreement to complete the acquisition of Halo Resources Ltd's 50% interest in the Bachelor property and now holds 100% of this mining property.
Metanor and Halo entered into an agreement to settle the two (2) last payments of $500,000 each scheduled for August 31st, 2007 and November 30, 2007, totaling $1,000,000, in consideration for a cash payment of $800,000 payable on August 31st, 2007 plus 125,000 common shares of Metanor at a price of $0.80 per share as full and final payment of Halo's 50% interest in and to the Bachelor Property and Halo's 50% interest in and to the Bachelor Lake Joint Venture, subject to the Royalties contemplated in the Amended and Restated Letter of Agreement. The parties will complete the sale of Halo's interest to Metanor on or before September 19, 2007. This proposal is subject to th
e approval of the board of directors of each of Halo and Metanor and of the TSX Venture Exchange.
Metanor has continued the refurbishing work on internal components (mechanical and electrical) of the Bachelor mill and approximately 80 to 85% of the work is already completed. Meanwhile, a stripping program is currently underway on the property and covers a highly prospective sector to the east of the mine and the O'Brien Pluton. A few holes drilled in this area in the past returned interesting gold intersections (41.14 g/t Au over 1.0 m and 3.43 g/t Au over 1.92 m in hole 87-56, 4.87 g/t Au over 3.29 m in hole 82-38 and 13.71 g/t Au over 1.35 m in hole 86-37) (April 14, 2007). An exploration team assisted by an excavator was recently mobilized and try to expose mineralized zones which represent the eastern extensions of the Bachelor Mine's Main and B zones. In addition to improving knowledge of the sector, the work should make it possible
to better position the next drill targets in this area.
Work is also underway on the Barry property. Extensive slashing and stripping work was initiated to expose extensions of the main mineralised zones and in order to prepare the site for open pit operation. Surveying is also being carried out to exactly locate areas to be excavated. Metanor intends to begin the open pit operation as soon as all the permits have been obtained. The Barry gold deposit, evaluated by Geostat Systems International Inc. in compliance with NI 43-101 for Murgor Resources (the previous owner), has indicated resources of 35,500 oz Au (269,000 metric tons as 4.10 g/t Au) and inferred resources of 67,600 oz Au (450,000 metric tons as 4.68 g/t Au) in zones 43 and 45 and in the Main Zone (April 10, 2006 - press release). In addition, following a drilling program carried out in 2006, a new evaluation is underway that should contribute to increase these reso
Metanor Resources Inc. reports that it has no exposure to Canadian asset backed commercial paper. Metanor's cash is invested in highly liquid instruments with financial institutions. Metanor is fully funded with approximately 18M$ in cash to bring the Bachelor Mill and Barry project into production.
Mr. Andr� Tremblay, P Eng. is the qualified person pursuant to National Instrument 43-101 and supervised the technical information presented in the news release.
The TSX Venture Exchange does not accept any responsibility for the adequacy or the accuracy of the press release.
For further information please contact:
SERGE ROY, PRESIDENT
TEL. : 819-825-8678
2872, CHEMIN SULLIVAN, BUREAU 2.
RENMARK FINANCIAL COMMUNICATIONS INC.
JASON ROY : JROY@RENMARKFINANCIAL.COM
JEN POWER : JPOWER@RENMARKFINANCIAL.COM
TEL. : (514) 939-3989
FAX : (514) 939-3717