Claude,
FYI:2000 Update
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EuroZinc would like to update shareholders on several positive developments for the Company.
First, Resource Capital Fund L.P. has extended its initial US$ 4,000,000 convertible loan facility with the Company until March 31, 2000. To-date the Company has drawn down US$ 2,000,000 of the facility. Terms of the extension include revision of the conversion price to account for market price at the time of potential additional draws. This provides the Company with additional flexibility concerning further exploration drilling and working capital.
Second, the Company recently filed a Form 20-F registration statement with the U.S. Securities and Exchange Commission. The Form 20-F was filed to register the Company's common shares under the U.S. Securities Exchange Act of 1934. The filing date, as confirmed by the Commission, was January 10, 2000 and pursuant to the Securities Exchange Act, the Form 20-F registration statement will become effective automatically sixty days after filing. As a result of the filing becoming effective, as well as U.S. state "blue sky" filings and various other exemptions, the Company's common shares will be eligible for secondary non-issuer trading in most states in the U.S. The Form 20-F registration is an important step for the Company to increase its access to the large U.S. securities market.
Third, EuroZinc is currently evaluating recently acquired geophysical data that covers the Malhadinha exploration concession surrounding the Aljustrel project in southern Portugal. All of the gravity data has now been re-processed and work is underway to select initial targets for further ground evaluation and drill testing. Fieldwork will begin in early February. Further exploratory drilling on the Esta‡Æo concession will follow in March, with drilling on Malhadinha to begin as soon as targets have been defined on the ground.
Finally, the metallurgical program and resource modeling are now complete, and the Aljustrel feasibility study is on target for completion by the end of the first quarter of this year. The Company is pleased with the results to-date and is confident that the Aljustrel project will be a successful, major zinc producer in the near term.
EUROZINC MINING CORPORATION
"Alvin W. Jackson"
President |
