NuStar and Intrepid finalise merger agreement

NuStar Mining Corporation Ltd and Canadian gold and silver explorer, Intrepid Minerals Corporation, have formalised their commitment to merge through the execution of a definitive merger agreement.

This follows the successful completion of legal due diligence.

Under the terms of the merger, first announced on 13 December 2005, NuStar proposes to implement a one for twelve share consolidation prior to issuing Intrepid shareholders with one post-consolidation NuStar share for each Intrepid share held.

NuStar will subsequently apply for dual listing on the Toronto Stock Exchange and change its name to Intrepid Mines Ltd.

The merger, which remains conditional on shareholder and regulatory approvals, is to be implemented via a Plan of Arrangement. The transaction is scheduled for completion by 31 March 2006.

The combined company will be a dual-listed intermediate producer with an international portfolio of attractive precious metals assets including high grade resources of one million gold equivalent ounces.