30 Jan 2009 12:32
ο»Ώ
30thΒ January 2009
VANE Minerals Plc ('VANE' or the 'Company')
Lease Agreement signed onΒ Yuma King Copper Project, Arizona
Further toΒ theΒ Company's announcement onΒ 22ndΒ September 2008,Β AVENΒ Associates LLC,Β aΒ whollyΒ owned subsidiary of VANE Minerals plc.,Β hasΒ signed a LeaseΒ AgreementΒ ("Agreement")Β with Merrill Palmer, the owner of the Yuma King copper-molybdenum prospectΒ ("Property").Β
The Yuma King Mine,Β historicallyΒ the primary prospect on the Property, has historic production of 8,709 tons of copper ore, producing 461,686 lbs of copper (Keith, 2003).Β TheΒ Property consists ofΒ 320Β federal lode mining claims,Β coveringΒ approximately 6,400Β acres,Β located inΒ La PazΒ County, west-centralΒ Arizona.Β
Historical Data
Past explorationΒ on the propertyΒ consists ofΒ detailed mapping and sampling of both surface and extensive underground workings, ground and airborne magnetic surveys and the drilling of 19 surface diamond drill holes. This work has outlined a potential copper oxide resource and intersected porphyry style copper-molybdenumΒ alteration and mineralization in several of the deeper drill holes.Β
The former lesseeΒ terminatedΒ itsΒ agreement with Merrill Palmer in July 2008. AΒ NI43-101-complaint TechnicalΒ ReportΒ dated 7 November 2005 wasΒ preparedΒ byΒ the former lessee, albeitΒ before the 19Β surfaceΒ holes were drilled. VANE is currentlyΒ examiningΒ theΒ NIΒ 43-101Β reportΒ to determine its accuracy and completeness in light ofΒ the additional holes drilled.
Agreement terms
The Agreement calls for escalating annual advanced royalty payments starting at US$20,000Β on signingΒ and increasing to a maximum of US$100,000 in year 5 with a 2.5%Β Net Smelter RoyaltyΒ ("NSR")Β on production. The 2.5% NSRΒ royalty can be reduced to 1.5% by making a payment of US$2,000,000.
Commenting today Steve Van Nort, CEO of VANE Minerals, said:
"We areΒ pleased that the full Lease Agreement has now been finalized.Β WeΒ look forward to conductingΒ additional work on the projectΒ including mapping and drillingΒ to fully evaluate the copper oxide potential as indicatedΒ in the NI 43-101 report and further evaluate the potential for a copper/moly porphyry deposit. "Β
-Β END -
Β
For furtherΒ information, please contact:
|
VANE Minerals Plc |
+44 (0) 20 7667 6322 |
|
Matthew Idiens |
|
|
Ambrian PartnersΒ Limited |
+44 (0) 20 7634Β 4709Β |
|
Richard Brown |
|
|
Thomas Weisel Partners |
+44 (0) 20 7877 4478 |
|
Paul Newman |
|
|
Threadneedle CommunicationsΒ |
+44 (0)Β 20 7653 9850 |
|
Laurence Read/Beth Harris |
+44 (0) 79 7995 923 |
Notes to Editors
VANE Minerals is an exploration company, with a cash flow, financed in part by production from the silver/goldΒ Diablito MineΒ and mill inΒ Western Mexico. The Company has assembled a highly qualified andΒ experienced management teamΒ with a proven track record in exploration and development. VANE now has projects inΒ Mexico,Β ParaguayΒ and theΒ US, incorporating exposure to gold, silver, copper and uranium. The Company's principal objective is to utilise the funds generated from Diablito to identify and explore undervalued and under-explored projects, create value in those projects and realise that value through exploitation or disposal to third parties. For furtherΒ information, please visitΒ www.vaneminerals.com.
Follow the stocks