1st Jun 2007 09:00
Beowulf Mining PLC01 June 2007 BEOWULF MINING PLC PRESS RELEASE OPTION AND EARN-IN AGREEMENT ON BALLEK EXPLORATION PERMITS, NORTHERN SWEDEN 1 June 2007 The directors of Beowulf Mining PLC ("Beowulf") the AIM listed copper, gold and uranium explorer, are pleased to report the signing of anoption and earn-in agreement on the Ballek 2, 3, 4 and 5 exploration permitsthat cover 110 square kilometres of Arjeplog County of Northern Sweden. Agricola Resources PLC ("Agricola") has been granted an option toacquire a 51% interest in the licences by undertaking magneto telluric, inducedpolarisation and resistivity surveys, followed by 3,000 metres of diamonddrilling. Agricola has agreed to conduct the programme by 31 December 2008. The surveys are intended to identify targets associated with the gravity anomalyunder the claim block, and to identify any iron oxide copper gold (IOCG)deposits that may be present in the Ballek area. It is intended that Beowulf will incorporate a new subsidiary company to holdthe Ballek exploration permits and that, following completion of the agreed workprogramme, Agricola will be given a 51% shareholding in this company. Byspending an additional US$500,000 Agricola can increase its interest in theBallek licences to 70%. Subsequent expenditure on the Ballek exploration permits will be made pro ratato Beowulf and Agricola's respective interests, subject to adjustment in theevent that one party chooses not to fund their proportion of such expenditure. Agricola Resources PLC (www.agricolaesources.com) is a company engaged inuranium exploration and development. The Company has registered claims for 137sq. km. in Sweden called Manakjaure 1 and Geddaur 1, 2 and 3 claims. In FinlandAgricola has applied for contiguous exploration claims Kuuajaervi 1, 2 and 3.They are located around the Paukkajavaara uranium area in Eno county, EasternKarelia. Agricola Resources PLC (www.agricolaresources.com) is a public company whoseshares are traded on the PLUS Market. It recently raised £467,800 in explorationfinance. This later investment in Agricola was made by Energy Ventures Limited(ASX: EVE), a Perth based company listed on the ASX Australian Stock Exchange.EVE will give technical backing to Agricola. This agreement enables Beowulf to advance its projects whilst maintaining itsexisting cash resources. Agricola's shares are traded on the PLUS Market and it is a related party toBeowulf under the AIM Rules since R Young, J O Larsson and A C R Scutt, who aredirectors of Beowulf are also directors of Agricola.Because the above agreement constitutes a related party transaction for the purposes of the AIM Rules, the Independent Director of Beowulf - Ed Taylor considers, having consulted with the Company's Nominated Adviser, Ruegg & Co Limited, that the terms of the agreement are fair and reasonable insofar as the Company's shareholders were concerned. For further information contact : Dr Robert Young, Beowulf Mining plc Tel. +44 (0) 1353 649 701 Mr Gavin Burnell, Ruegg & Co Limited Tel. +44 (0) 207 584 3663 Mr Gary Middleton, St. Swithins PR Tel. +44 (0) 207 929 4391 Mr. Nick Bealer, King & Shaxson Tel. +44 (0) 207 426 5986 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Beowulf