NEM is up a few per cent with XAU essentially flat. I couldn't find any news which might have sparked a good NEM rally. Anybody hear anything?
Lee S.
What lit the fire under NEM??
Started by
lscharpen
, Aug 28 2007 09:51 AM
2 replies to this topic
#1
Posted 28 August 2007 - 09:51 AM
#2
Posted 28 August 2007 - 09:57 AM
NEM is up a few per cent with XAU essentially flat. I couldn't find any news which might have sparked a good NEM rally. Anybody hear anything?
Lee S.
Heavy call buying yesterday so someone knew something!
#3
Posted 28 August 2007 - 10:02 AM
MONTREAL, QUEBEC--(Marketwire - Aug. 28, 2007) - Birim Goldfields Inc.
(TSX:BGI) ("Birim" or "the Company") is pleased to report that it has concluded
a two-part agreement with Newmont Ghana Gold Limited and Newmont USA Limited,
subsidiaries of Newmont Mining Corporation (NYSE & ASX: NEM; TSX: NMC)
("Newmont") comprising:
- a joint venture agreement on the 488.3 km2 Banda Ahenkro Property on the
Sefwi Belt; and,
- the waiving of Newmont's back-in rights on Birim's Bui Belt Properties.
Under the terms of the agreement, Newmont will waive their historical back-in
right to projects on Birim's thirteen properties within the boundary of the old
Bui Reconnaissance License. In exchange for this waiver, Birim will grant
Newmont an initial 49% equity interest in Birim's Banda Ahenkro Property on the
Sefwi Belt (see Note 1). Newmont will have the right to earn another 21% (up
to 70%) by spending US$1,500,000 on exploration over four years, subject to
minimum expenditures of US$300,000 in Year 1, US$350,000 in Year 2, US$400,000
in Year 3 and US$450,000 in Year 4. Newmont may then elect to earn an
additional 10% interest (up to 80%) by completing a feasibility study on the
property. The agreement remains subject to the normal statutory and regulatory
approvals.
Birim has a dominant position on one of Ghana's relatively under-explored gold
belts, the Bui Belt. This comprises a portfolio of fifteen licenses, of which
thirteen prospecting licenses were "cherry picked" after systematic regional
exploration by Birim from the greater than 7,000 km2 Bui reconnaissance license
acquired from Santa Fe Mining in 1998. The terms agreed with Santa Fe at the
time included a right (subsequently inherited by Newmont) allowing them a
once-off back-in to any project with a completed bankable feasibility study
located within the area defined by the boundary of the original reconnaissance
license.
"The transaction makes a lot of strategic sense for Birim," says Victor King,
President and CEO for Birim. "Exploration progress on the Banda Ahenkro
property will benefit from Newmont's broad exploration expertise and their
specific experience on the Sefwi Belt, which hosts their multi-million ounce,
world-class Ahafo Gold Mine. Our active involvement with Newmont at Banda
Ahenkro also will benefit our efforts on Birim's other three properties on the
Sefwi Belt, namely Nkenkasu, Bia Tano and Techimentia." King added, "Newmont's
waiver to their inherited back-in right on our Bui properties will widen our
options for funding exploration on this extensive land package. I believe that
it is pragmatic for Birim to invite selected interested partners to assist in
aggressively advancing exploration on some of our Bui licenses at this stage.
This will maximize Birim's current leverage on the belt and optimize the
potential for exploration success on all of the properties."
Birim Goldfields Inc. is an exploration company focused on gold exploration in
West Africa and trades on the Toronto Stock Exchange under the symbol BGI.
Notes : 1. The Government of Ghana retains a 10% free carried interest in all
gold mining development projects in Ghana. Consequently, the interests
specified in the agreement will apply to the 90% available interest, with the
Government of Ghana holding the remaining 10%.
FOR FURTHER INFORMATION PLEASE CONTACT:
Birim Goldfields Inc.
Denis Simoneau
Chairman
514-393-8611 or Toll Free: 1-800-721-8611
info@birim.com
or
Birim Goldfields Inc.
Victor King
President & CEO
514-393-8611 or Toll Free: 1-800-721-8611
vic.king@birim.com
or
Birim Goldfields Inc.
Farah Alibhai
Investor Relations
604-731-7340
farah@birim.com
www.birim.com