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MONTREAL, QUEBEC--(Marketwire
- July 28, 2009) - MDN Inc. ("MDN")(TSX:MDN)
is pleased to provide an operation update on the exploration activities
and mining development in Tanzania for the rest of the year.
Highlights
- MDN announces a $1.5M minimum budget for its business development and
exploration activities in Tanzania for the 6 month period from July to
December 2009. This amount could be increased up to $3M based on
results. Most of the investment will be used for drilling at Isambara and Ikungu.
- In the Tulawaka area, a drilling program
(Phase 1) of approximately 2,500 meters (12 to 15 drill holes) is
already in progress on the Isambara project. Other
gold targets located near the Tulawaka Gold
Mine namely, Viyonza and Msasa,
will also be explored.
- Supported by encouraging results of detailed soil sampling programs,
conducted in April and May 2009, on the Southern Area of the Isambara project, two new Mobil Metal Ion
("MMI") soil sampling programs will now be conducted on the
Central and Northern Areas to identify additional targets for the
drilling planned for September.
- Concerning the Ikungu project, geochemical
soil surveys with 800 meters space lines have been completed in order
to cover the entire property and the results will be announced shortly.
MMI detailed soil sampling will also be undertaken in order to better
define the extension of the drilling targets already identified. A
first phase of drilling will begin following the drilling works on Isambara for the targets previously selected and a
second phase will follow once the MMI detailed soil sampling is
completed.
- In order to support the mining development activities, the board of
directors has approved a substantial budget aiming at evaluating new
acquisition projects. MDN's management team
can be, if needed, assisted by a multidisciplinary team of industry
experts qualified for the evaluation and analysis of such projects.
- At the Tulawaka Gold Mine, a partnership
between MDN (30%) and Pangea Goldfields
(70%), 6,500 meters of drilling have been completed since the beginning
of 2009, mainly for the underground mine development. Additional
investments and activities have been planned by the operator following
the good results of the initial drilling programs.
- As of this date, MDN has over 20 million dollars in cash, no debt and
expects to remain profitable in fiscal 2009. MDN's
cash reserves are sufficient to ensure its ongoing operations and
announced investment plans without requiring additional financing in
the medium term.
- Drilling activities' in Quebec, as well as the development of the
Anita project (previously MCI and its niobium and tantalum resource), will be the subject of an update in the upcoming
weeks.
All technical information in this release has been reviewed by Marc Boisvert, Engineer and Vice President, Exploration
of MDN, serving as a qualified person in compliance with National
Instrument 43-101.
MDN is a mining exploration and development company having adequate
financial resources to develop its very promising projects in Quebec
and in Tanzania and to search for new business opportunities that can
raise shareholder value. In addition to its 30% participation in the Tulawaka Gold Mine, MDN is the operator and owner
of a majority interest in 35 mineral licenses adjacent to the Tulawaka gold mine in Tanzania, and owns a 28.75%
interest in a property with a NI 43-101 niobium and tantalum resource
located in the Lac St-Jean area of Quebec.
Forward looking statements
All statements in this release, other than statements of historical
fact, that address events or developments that the Company expects to
occur, are forward looking statements. 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
forward looking statements. Factors that could cause the actual results
to differ materially from those in forward-looking statements are
discussed in greater detail in the Company's most recent Annual
Information Form filed on SEDAR, which also provides additional general
assumptions in connection with these statements. Investors and others
who base themselves on the Company's forward-looking statements should
carefully consider the factors mentioned in the Annual Information Form
as well as the uncertainties they represent and the risk they entail. The
Company believes that the expectations reflected in those
forward-looking statements are reasonable, but no assurance can be
given that these expectations will prove to be correct and such
forward-looking statements included in this press release should not be
unduly relied upon. These statements speak only as of the date of this
press release.
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