Clear Creek Resources Ltd -
Clear Creek to acquire Argentina dolomite property
Clear Creek Resources Ltd
CK
Shares issued 5,781,101
1999-07-30 close $0.05
Thursday Aug 5 1999
Mr. Wade Dawe reports
Clear Creek has entered into an agreement with Minera Olympus Argentina S.A.,
an arm's-length party, to acquire the Bocca Sierra dolomite property in Buenos
Aires province, Argentina, subject to regulatory and shareholder approval.
The Bocca Sierra property is an operating dimensional stone quarry covering 12
hectares and located near the city of Olavarria, with several large ports within easy
road and rail access from the site. Currently, there is production of only 30 to 40
cubic metres per month. Current estimated reserves of dolomite are 44.2 million
cubic metres. Diamond core drilling financed by the provincial government has
established uniformity of the Bocca Sierra dolomite (which is a requirement for
commercial extraction) over large areas. The deposit is not heavily fractured and
high recoveries of large commercial-sized blocks can be achieved. The material is
attractive and polished tiles and slabs of the dolomite figure prominently on
numerous high-profile buildings in Buenos Aires.
As part of the transaction, the company will effect a 1 for 3 consolidation of its
share capital. The consideration to be paid for the property will be 1.7 million
postconsolidation shares, and will result in a change of control and management of
the company.
Olympia Argentina S.A. is part of the Olympus group of companies based in
South Africa, the principals of which are Rudolph de Bruin and David Twist, the
latter of whom shall become a director of the company on closing of the
acquisition. Olympus has significant experience in the dimensional stone industry
and has formed joint ventures on other projects with major companies in the
industry.
The company has terminated its option to acquire the Red Hat property in
Zimbabwe.
Four hundred thousand shares held in escrow in respect of the Good Hope
property, in which the company terminated its interest last year, are being
cancelled, reducing the issued share capital to 5,781,101 shares (1,927,034
postconsolidation).
(c) Copyright 1999 Canjex Publishing Ltd. canada-stockwatch.com
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