ASX and Media Release
3 July 2007
Adamus raises $7.7
million at 64 cents to further develop
flagship gold
project
Emerging gold producer Adamus Resources Limited (Company)
(ASX:ADU) has raised an additional $7.68 million to drive the development of
its West African gold project.
The funds have been raised through the private placement of 12
million shares with three of its existing institutional and sophisticated
shareholders at a price of $0.64 per share. This represents a premium to
current market price and reflects the solid potential of Adamus’ primary
gold project.
Adamus Resources Managing Director Mark Bojanjac said the funds
would be used to advance and expand the Company’s flagship Southern
Ashanti Gold Project (SAGP) in Ghana.
“This placement is a strong endorsement of Adamus’ value
and the potential of the SAGP by some of our largest shareholders, including
Macquarie Bank and sophisticated investor, Hightime" Mr Bojanjac said.
"Our SAGP project is at an exciting stage of its development. The
feasibility study is now complete, we have confirmed an increase in resource
estimates, we have a substantial drilling program in place to further increase
our resources and ongoing works are continuing on-the-ground in Ghana,”
Mr Bojanjac said.
Funds will be used to support and expand the extensive drilling
program to add additional ounces to the already proven ore reserve, while
Adamus also goes through the environmental approval and mine permitting
process.
“The Board is highly encouraged by the potential of the regional
holdings, which have yet to be drilled and our drilling program is aimed at
further improving the economics of the project by building our ore reserve as
we move towards production,” Mr
Bojanjac said.
Total measured, indicated and inferred gold resources of the Salman
and Anwia deposits in the SAGP now stand at 1.6 million ounces at 2.1 g/t, with
more than 73% now in the measured and indicated category. The current expected
mineable reserve totals 730,000oz at 2.65g/t.
The placement is subject to regulatory approval, including
approval of the TSX Venture Exchange.
The placement shares will be issued pursuant to applicable
prospectus exemptions.
Adamus
Adamus Resources Limited is a Perth-based mineral exploration
company, listed on Australian Stock Exchange (ASX), Toronto Stock Exchange
Venture Exchange (TSX-V) and Frankfurt Stock Exchange Open Market (FSE).
The Company’s primary focus is on exploring, realising and
expanding the economic potential of the Southern Ashanti Gold Project in Ghana, West Africa.
The Project encompasses approximately 500km2 of granted tenure in the Ashanti
Gold Belt – host to over 60moz of gold and the Project boasts excellent
access to port and road infrastructure. Ghana is a stable West African
country with a long history and some of the world’s largest gold mining
operations. Gold production is vital to the national economy. Members of the
Adamus Board and management team have proven records in mineral exploration,
project development and project financing.
For further information please contact:
Mark Bojanjac – Managing Director/CEO
+61 8 9322 5943
email: mark@adamusresources.com.au
Mark Connelly – Executive Director/COO
+61 8 9322 5943
email: mark.connelly@adamusresources.com.au
Information in this announcement pertaining
to mineral resources was compiled by Gary Brabham, a director of Adamus, who is
a Member of The Australasian Institute
of Mining and Metallurgy
and a Member of the Australian Institute of Geoscientists and has more than 5
years experience in estimation of recoverable resources in gold deposits. He
qualifies as a “Qualified Person” under Canadian National
Instrument 43-101 – Standards of Disclosure for Mineral Projects.
Gary Brabham 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 JORC Code. Gary Brabham
consents to the inclusion in the announcement of the matters based on this
information in the form and context in which it appears.
The expected minable reserve includes
an assumption that additional ounces will be added to the reserve estimate set
out in the Feasibility Study announcement on 14 June 2007 (“Feasibility
Announcement”). These assumptions are set out in the Feasibility
Announcement under the section titled ‘Ongoing Exploration’. This
is not an estimate of further Mineral Resources or Ore Reserves under the JORC
Code or otherwise. It is an assumption only made for the purposes of the
Expected Case scenario set out in the Feasibility Announcement. There has been
insufficient exploration to define any further Mineral Resources or Ore
Reserves and it is uncertain if further exploration will result in the
delineation of any further Mineral Resources or Ore Reserves.
The TSX-V and ASX does not accept
responsibility for the adequacy or accuracy of this release. No stock exchange,
securities commission or other regulatory authority has approved or disapproved
the information contained herein.
Caution Regarding Forward Looking
Statements.
Statements regarding Adamus' plans
with respect to its mineral properties are forward-looking statements. There
can be no assurance that Adamus' plans for development of its mineral
properties will proceed as currently expected. There can also be no assurance
that Adamus will be able to confirm the presence of additional mineral
deposits, that any mineralization will prove to be economic or that a mine will
successfully be developed on any of Adamus' mineral
properties. Circumstances or
management’s estimates or opinions could change. The reader is cautioned
not to place undue reliance on forward-looking statements.
***
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