02/05/2008 - 15:03

Focus aquires Coolgardie gold project

02/05/2008 - 15:03

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Western Australian exploration company Focus Minerals Ltd has acquired a further 50 per cent interest in the Coolgardie Gold Project.

Focus aquires Coolgardie gold project

Western Australian exploration company Focus Minerals Ltd has acquired a further 50 per cent interest in the Coolgardie Gold Project.
The acquisition, from Canadian joint venture partner Committee Bay Resources, was effected with the payment to Committee Bay of A$19 million in cash, the allocation of 140 million Focus Minerals shares and A$2 million deferred until 30 April 2009 in the form of an 8.25% Convertible Note.

Full Announcement Below:
Australian-based gold and nickel company Focus Minerals Ltd (ASX: FML) is pleased to announce that it has completed the acquisition of Canadian Joint venture partner Committee Bay Resources' 50% interest in the Coolgardie Gold Project, Western Australia.
The settlement, which occurred on April 30, gives Focus 100% ownership of the former Redemption Joint Venture assets at Coolgardie, including an extensive resource inventory within multiple deposits, the fully permitted 1.2mtpa Three Mile Hill gold processing facility (currently on care and maintenance), and a highly prospective 210km2 tenement package offering an outstanding pipeline of exploration and development opportunities.
The settlement was effected with the payment to Committee Bay of A$19 million in cash, the allocation of 140 million Focus Minerals shares and A$2.0M deferred until 30 April 2009 in the form of an 8.25% Convertible Note.
Additionally, Focus has finalised the A$14m placement to professional investors, a A$4m Share Purchase Plan (SPP) and an $A18.65m debt facility - with the first drawdown executed yesterday - provided by Investec Bank (Australia) Ltd. These initiatives have supported the acquisition and will also provide additional working capital to underpin the Company's accelerated development strategy in both gold and nickel.

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