CALGARY, Sept. 5 /PRNewswire-FirstCall/ -- Vannessa Ventures Ltd. (the "Company") - The Company is pleased to announce that it has entered into a "principles of agreement" with Shoreham Resources Ltd. of Toronto ("Shoreham") in order to accelerate the exploration and development of the Marudi Mountain and Paint Mountain prospects in Guyana.
Under the terms of the agreement, subject to due diligence, the Company will grant Shoreham the option to earn an initial 50% working interest in the Marudi Mountain Gold project by completing $2,000,000 US in exploration and qualified project management expenditures during a 3 year period, and may earn an additional 25% by completing an additional $2,000,000 in exploration and development work prior to the fourth anniversary of completion of due diligence review.
Under Shoreham's direction and supervision, exploration will focus on expanding known gold resources at both the Marudi and Paint Mountain prospects with a view to identifying additional mining opportunities and to provide a 43-101 compliant resource report. The Company is of the view that this course of action provides the best opportunity for early expansion, definition and development of the Marudi/Paint Mountain gold resource.
The principles of agreement separately provides an option for the sale of 100% of the Company's under performing Potaro assets to Shoreham under predefined terms.
The transaction, subject to successful completion of due diligence, and execution of a definitive agreement between the Company and Shoreham Resources Ltd. will provide Vannessa Ventures Ltd. the opportunity to focus on the Crucitas gold mine development in Costa Rica that is currently in the predevelopment phase.
John Morgan, President
Vannessa Ventures Ltd.
"The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release."
CONTACT: Vannessa Ventures Ltd., Suite 220, 1010 - 1st Street S.W. Calgary, AB, T2R 1K4, Tel: (403) 444-5191, Fax: (403) 444-5190
© 2006 PR Newswire
