June 21st, 2000
News Release
Consolidated Silver Tusk Mines Limited (CKS) takes pleasure in announcing that the Company has
received final approval from the Canadian Venture Exchange (CDNX), for the US$2 million Private
Placement Loan Agreement executed on April 3rd, 2000.
Management will continue with the work program in Indonesia, which includes their objective to reach
full production status on the KBU property by September 2000. The Company has identified the
inferred mineral resource, have established the additional equipment that is required to mine and recover
gold, silver and manganese and will implement the newly designed mine plan that includes three open
pit areas to be mined, in addition to the old tailing ponds which contain high quantities of silver and
manganese. The finance that is now available under the Private Placement Loan Agreement will give the
Company the opportunity to achieve their corporate objectives.
The Company wishes to assure their investors and shareholders of their pro-active management plan,
therefore the Company has sought and received a written undertaking from the lender to not effect a
conversion of principal loan capital into units of the Company during the first year of the two-year
contract term. The lender will reserve the right to convert any principal loan amount, not yet repaid
during the first year, into units of the Company during the second one-year term, and if they so elect.
The lender has further indicated that it is unlikely that the conversion in the second year will represent
more than 25% of the US$2 million principal loan amount. Prior to the conversion of the convertible
security, disinterested shareholder approval will be acquired.
Management has entered into this arrangement with the lender to minimize dilution of the Company?s
total shares outstanding. It is management?s belief that production status and the resultant funds
generated through production activity will create real value for the Company, and ultimately benefit all
shareholders.
For further information please contact investors? relations at info@silvertusk.com or request a copy of
the Company?s Corporate Profile through the web site: www.silvertusk.com
Except for historical information contained in this release, the matters discussed are forward looking
statements that involve risks and uncertainties. When used in this release, words such as ?anticipate?,
?`believe?, ?estimate?, ?expect? and ?intend? and similar expressions, as they relate to the Company or
its management, identify forward-looking statements. Such forward-looking statements are based on
the beliefs of the Company's management, as well as assumptions made by and information currently
available to the Company's management. Among the factors that could cause actual results to differ
materially are the following: the effect of business and economic conditions; the impact of competitive
products and pricing; capacity and supply constraints or difficulties; product development,
commercialization or technological difficulties; the regulatory and trade environment. The Company
undertakes no obligation to revise any forward-looking statements as a result of future events or
developments.
On behalf of the Board of Directors,
William Van der Merwe
William J. Van der Merwe.
Vice President ? Finance & Administration.
Symbol ? CKS (V) US 12g3-2(b) No.82-723
2011-989 Nelson Street, Vancouver, B.C. Canada V6Z 2S1.
E-Mail: consil@telus.net
Telephone: (604) 602-1088 Facsimile: (604) 602-1077 Website: www.silvertusk.com |
