Southern Africa Minerals Corporation - Caber Update
TORONTO, ONTARIO--The company is pleased to report that Noranda
Inc. has made the June 15, 1999, $400,000 optional payment. The
payment is in respect to the option agreement on the Caber
zinc/copper property located 35 km west of the Matagami mining
camp in Quebec.
Management has agreed to issue Noranda 290,909 shares at
$1.38/share in regard to the payment. The next optional payment of
$750,000 is due on January 15, 2000. Noranda Inc. can earn up to
a 70 percent interest in the property by bringing the property to
production; by incurring $6.0 million in work expenditures and
making $2.85 million in private placements in the company over a
four-year period. So far Noranda has subscribed to $1.2 million
worth of shares of SAF and expended approximately $3.0 million in
exploration expenditures on the property including 30,000 meters
of diamond drilling.
Noranda Inc. is finalizing a feasibility study on the high-grade
core of the Caber deposit. The study is based on a resource
estimate of 470,500 tonnes at a grade of 11 percent zinc, 0.8
percent copper, 13.0 g/t silver and 0.2 g/t gold. Preliminary
analysis indicates that the project may be feasible at a zinc
price of US $ 0.60/lb. Due to current depressed base metal prices
an underground development program has been deferred. Exploration
is continuing with two drills on several areas of the property.
The Company wishes to advise that it has moved its office to the
following new location:
/T/
1115 Sutton Drive
Burlington,
Ontario Phone: (905) 319-2356
L7L 5Z8 Fax: (905) 319-3527
/T/
THE PRESS RELEASE WAS PREPARED BY SOUTHERN AFRICA MINERALS
CORPORATION WHICH ACCEPTS THE RESPONSIBILITY AS TO ITS ACCURACY.
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FOR FURTHER INFORMATION PLEASE CONTACT:
Southern Africa Minerals Corporation
Denis Francoeur
President and C.E.O.
(905) 319-2356
HYPERLINK http:// www.southernafrica.net |
