Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : JABA INC.(c.jba) -- Ignore unavailable to you. Want to Upgrade?

To: Just Wayne who wrote (161)	12/3/1997 2:23:00 PM
From: David MacLachlan	Read Replies (1) \| Respond to of 1044

Another news release-this may explain today's action. NEWS RELEASE #97-9 FOR IMMEDIATE RELEASE ÿ JABA-PHELPS DODGE JOINT VENTURE AGREEMENT ÿAT THE HAY MOUNTAIN PROJECT ÿSOUTHEASTERN ARIZONA ÿFINALIZED ÿ December 1, 1997 JABA, Inc. (ASE-JBA) is pleased to announce a joint venture with Phelps Dodge Exploration Corporation on the Hay Mountain gold prospect in southeastern Arizona in an agreement finalized and signed on November 26, 1997. The Hay Mountain prospect comprises an amalgamation of properties held by JABA and Phelps Dodge.ÿ In order to further explore this prospect, JABA and Phelps Dodge have formed a limited liability company in which JABA holds a 40% interest and Phelps Dodge holds a 60% interest and is the operator of the project.ÿ In order to maintain its 60% interest, Phelps Dodge must spend $US 2 million over four years on exploration,ÿ and will have a further two years in which to produce a bankable feasibility study.ÿ At completion of a positive feasibility study Phelps Dodge will have the option of increasing its interest to 70% by paying JABA $US1 million.ÿ Should Phelps Dodge decide not to incur the required expenditures during the four year exploration period, they would be deemed to have withdrawn from the limited liability company and each companies' respective properties would revert back to sole ownership. The Hay Mountain property covers approximately 4,700 acres distal to a Laramide porphyry copper-precious metal district near Tombstone, Arizona.ÿ The project is based upon recent recognition of bulk-minable gold mineralization in limestones distal to porphyry copper deposits (Barney's Canyon, Utah; Star Pointer, Nevada; El Hueso, Chile).ÿ Previous exploration at Hay Mountain, unverified by either JABA or Phelps Dodge, reports a drill indicated resource of 100,000 tons of 3 grams (0.091 ounces) per ton gold.ÿ The Hay Mountain prospect has potential for a significant tonnage of disseminated gold mineralization. JABA, Inc. is a pure exploration company focusing on the southwestern US and northern Mexico, where it holds a portfolio of over 30 high quality projects.ÿ JABA has discussions underway with a number of potential partners on these projects, and anticipates announcements of additional joint ventures in the near future.ÿ Phelps Dodge is a major multinational producer of base and precious metals, most notably copper. ÿ James A. BriscoeJohn M. GuilbertChief Executive OfficerChairman of the Boardÿ