Canstar's -ROX-Mary March hearing over, judgement pending
2007-11-14 08:05 ET - News Release
Dr. David Palmer reports
CANSTAR UPDATE ON APPEAL HEARING FOR THE MARY MARCH PROPERTY DISPUTE, NEWFOUNDLAND
Canstar Resources Inc. is updating shareholders on the progress of the Mary March appeal (Vinland Resources Ltd.) and cross-appeal (Phelps Dodge Corp.-Canstar Resources). The appeals, which were scheduled to be heard in a two-day period from Oct. 16 to 17, 2007, required additional time and the hearing was completed on Nov. 9, 2007. The judges reserved, which means that they will take the necessary time to complete their deliberations and render a decision on the appeal and cross-appeal. The board will update shareholders as soon as news is available.
Management would like to take this opportunity to thank shareholders for their continued patience and loyalty as the end of this long-standing dispute nears. The company is well funded, and plans are currently being made for a substantial drilling program on the Mary March deposit assuming a favourable outcome to the cross-appeal.
The Mary March property is located in central Newfoundland, 20 kilometres northeast of and within the same geological group that hosts the prolific former producing Buchans mine. Drilling by Phelps Dodge in 1999 resulted in the discovery of the Mary March deposit, and produced some of the highest-grade base and precious metal diamond drill intersections (9.2 metres at 10.33 per cent zinc, 1.62 per cent lead, 0.66 per cent copper, 118.1 grams per tonne silver and 4.1 grams per tonne gold) ever achieved in the area outside the Buchans mine. Canstar has the right to earn 50-per-cent interest in the property, with first refusal rights on the remaining 50 per cent, from Phelps Dodge.
Mary March legal background
The Mary March dispute began in 2000, when a privately held Newfoundland company, Vinland Resources Ltd., filed applications seeking map staking licences over the core Mary March discovery areas. The Mineral Claims Recorder (Newfoundland), on the basis of evidence that the lands in question had been privately held since 1905, rejected the applications, however, on Dec. 20, 2000, Vinland filed a grievance with the Mineral Rights Adjudication Board, asking that the Mineral Claims Recorder's decision be overturned.
In a favourable decision to Canstar, the Supreme Court overturned the decision of the Mineral Rights Adjudication Board. Vinland filed notice of appeal in August, 2006, and Phelps Dodge-Canstar responded with the cross-appeal asking that Vinland's claim be dismissed without a rehearing. |
