fin-info.com
1998-02-20 (provided courtesy of Canadian Corporate News.)
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Falconbridge Drilling Anomaly On Regal Property In Kidd Township
TORONTO, ONTARIO--Regal Goldfields Limited (CDN - REGL) announces
that it has now signed a formal agreement with Falconbridge
Limited under which Falconbridge has the right to earn a 70
percent interest in Regal's claims in Kidd Township. Regal
currently has a 100 percent interest in the property which
consists of 20 claims located approximately 16 miles north of the
City of Timmins in Northeastern Ontario. These claims are located
approximately 6,600 feet to the west of the Kidd Creek Mine and
2,600 feet south west of the Chance base metal deposit, both owned
by Falconbridge.
Falconbridge has commenced a diamond drill hole to test a
geophysical anomaly which crosses the northeast corner of the
property.
To earn the 70 percent interest under the terms of the agreement,
Falconbridge must make staged cash payments totalling $80,000 to
Regal and incur expenditures on the property of $700,000 by the
fifth anniversary of the agreement with minimum annual
expenditures of $50,000. The staged cash payments are: $10,000
received upon signing and upon the first anniversary, and $20,000
on each of the second, third and fourth anniversaries of the
agreement. Falconbridge is not obliged to make any payments or
incur any expenditures other than the $10,000 upon signing.
However, if the payments are not made or the expenditures not
incurred, Falconbridge forfeits its right to earn any interest in
the property.
If Falconbridge earns a 70 percent interest in the property, a
joint venture will be formed with Falconbridge holding a 70
percent interest and Regal a 30 percent interest.
Regal presently has 11,313,643 common shares and 2,000,000 special
warrants outstanding. The special warrants are exercisable into
2,000,000 common shares and 1,000,000 common share purchase
warrants within six business days after a receipt is issued by the
Ontario Securities Commission for a final prospectus qualifying
such common shares and warrants, or on June 23, 1999, whichever is
earlier. Each common share purchase warrant entitles the holder
to acquire one common share in the capital of Regal at an exercise
price of $0.20 per common share at any time on or before December
23, 1999.
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FOR FURTHER INFORMATION PLEASE CONTACT:
Regal Goldfields Limited
Richard Brissenden
President
(416) 364-1130
(416) 364-6745 (FAX)
NO REGULATORY AUTHORITIES OR SIMILAR BODIES HAVE APPROVED OR
DISAPPROVED THE INFORMATION CONTAINED HEREIN. |
