Acquisition
28 Avril 2003 - 9:00AM
UK Regulatory
RNS Number:4078K
Angus & Ross PLC
28 April 2003
ANGUS & ROSS PLC ("Angus & Ross")
Acquisition of Gold and Tantalum interests in Northern Queensland ("the Assets")
Further to the announcement made on 19 December 2002 regarding the above
interests, Angus & Ross now reports that final conditional agreement has been
reached with the vendors of the Assets. The only conditions now outstanding in
respect of the acquisition of the Assets are approval by the Australian Foreign
Investment Review Board and approval by the shareholders of Angus & Ross at an
extraordinary general meeting. It is expected that a circular to shareholders
concerning the acquisition of the Assets and convening the extraordinary general
meeting will be dispatched shortly.
Commenting on the proposed acquisition, Robin Andrews, Chairman of Angus & Ross,
said:
"This underpins our continuing endeavours to broaden our exploration activities
in recognition of current tantalum market conditions. We are not only acquiring
promising gold and tantalum mining assets and - providing we can raise the
necessary development capital - the potential for early cashflow, but with them
comes a talented team of eight highly experienced Australian mining experts, two
of whom - Professor Ian Plimer and Mr. Adrian Day - we are proposing join the
Angus & Ross board. The team members, each with between 25 and 35 years in the
minerals industry, have the breadth of contacts and complementary skills that
give us almost unparalleled access to other future projects in Australia.
"Already this agreement, and the people that come with it, has attracted the
attentions of major mining companies with discussions on-going. It is hoped that
we will be able to report positively on the outcome of such discussions
shortly."
Of the assets (full details of which are given below), Grant Gully and
Rutherford's Table, will be the primary focus of work this year because they
have the best potential for early production and revenue generation. It is hoped
that bulk sampling of alluvial tantalite-gold resources at Grants Gully will
commence this summer along with further definition drilling followed by bulk
sampling at Rutherford's Table.
A complete inventory of the Northern Queensland assets is:
i. Grant's Gully
The Grant's Gully mine, located 20 kilometres south west of Georgetown,
Queensland, is in the Etheridge Goldfield and comprises 84 square kilometres
of mining leases, mining lease applications and exploration permits for
minerals, a 10 cubic metres per hour alluvial testing plant, water supply
and a base camp. The required access agreements with the local indigenous
people and the North Queensland Land Council have been signed for the
Exploration Permits. An altered granite dome hosts
tantalum-lithium-beryllium bearing albite pegmatites and peripheral lithium
mica-amblygonite-rich dykes containing tantalite-cassiterite mineralisation.
The metamorphic rocks enveloping the granites contain gold. These areas have
shed tantalite and gold into an alluvial system (Grant's Gully).
ii. Rutherford's Table and White's Mine
The Rutherford's Table and White's mines are located in the Mount Wyatt
Goldfield near Ukalunda, 150 kilometres south west of Bowen, Queensland. The
area comprises two granted mining leases of 2.4 square kilometres area. The
area incorporates a 2 square kilometre Tertiary mesa of 50 metres of
volcanic-derived sediments overlying a 5 metre thick gold-bearing lake
sediment layer, which in turn may overlie a mineralised Tertiary
hydrothermal eruption breccia. A regular pattern of 34 underground
continuous chip samples of the wash over one to two metre vertical sections
produced an average grade of 2.4 grams per tonne of gold but the grade is
highly variable as shown from the 11 previous air core drill holes. In order
to demonstrate the viability of early low cost production, immediate
attention will be paid to what is considered to be the easily accessible
material around the periphery of the mesa in the vicinity of White's Mine.
iii. Top Camp
Top Camp was the first discovery of gold in the Cloncurry district, east of
Mount Isa. It comprises mining leases covering 4 square kilometres.
Historically, there has been alluvial and eluvial production of 25,000
ounces and limited aeromagnetics, surface geochemical sampling and drilling.
Previous exploration has not reconciled alluvial production and exploration
results. The untested Black Fort Fault Zone with workings over 1500 metres
with surface rock sampling grades greater than 1 gram per tonne of gold, is
the principal exploration target. Untested aeromagnetic anomalies have
potential for Ernest Henry-type and Osborne-type copper-gold targets. The
drilling of these targets is proposed.
iv. Application for permits
Applications for Exploration Permits for Minerals in the far north of
Queensland are also included in the package. These include:
Werrington, 258 square kilometres, 60 km south of Kidston, for gold,
Diggers Creek, 54 square kilometres, 40 km south of Forsayth, for gold;
and
Eveleigh, 127 square kilometres, in the Einasleigh area, for gold and
platinum.
In addition to the first consideration of 5,000,000 shares, two further
considerations of a maximum 5,000,000 shares each will be granted to the vendors
on achievement of the following objectives:
a. after either 1000 oz of gold or 15,000 pounds of contained
tantalum pentoxide is produced and sold after commencement of
production.
b. having achieved a market capitalisation of UKP10 million pounds
for a consecutive period of thirty (30) calendar days; or the
option for the gold mine project is taken up and successful
completion of due diligence has occurred and the required
security deposit is paid.
Enquiries, please contact:
Robin Andrews Neil Boom
Executive Chairman Managing Director
Angus & Ross plc Gresham PR Ltd.
01439 748 350 020 7404 9000
This information is provided by RNS
The company news service from the London Stock Exchange
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