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Diamond Fields' new joint venture for exploration in Zambia adjacent to D.R.C Kipushi Zinc/Copper/Germanium mine.
Diamond Fields' new joint venture for exploration in Zambia adjacent to D.R.C Kipushi Zinc/Copper/Germanium mine..
About this update from Dfr Gold Inc
[{"type":"text","content":"\n\n\n\nCAPE TOWN, July 24 /CNW/ - Diamond Fields International Ltd. (DFI:TSX)\n("DFI" or the "Company") is pleased to announce the successful conclusion of a\nJoint Venture Agreement (the "Joint Venture") with Lion Fields Limited ("Lion\nFields") for mineral exploration in a highly prospective area in western\nZambia.\n\n\nLion Fields has been granted the exclusive right to conduct exploration\nwork for copper, gold, silver, zinc, lead and germanium over a 444 square\nkilometer property (the "Property") in the Solwezi district of western Zambia.\nDFI believes that the Property has the potential to host extensions to the\nworld-class Kipushi ore-body, located immediately adjacent to the Property,\nwithin the Democratic Republic of Congo. Kipushi is one of the highest grade\nzinc mines in the world.\n\n\nSubject to obtaining the acceptance of the Toronto Stock Exchange, Lion\nFields and DFI have agreed to form a Joint Venture on an 80% (DFI) to 20%\n(Lion Fields) basis, for the exploration, valuation and, if justified, the\ndevelopment and mining of any mineral resources discovered on the Property,\nupon the terms and conditions set out in the Joint Venture agreement.\n\n\nPursuant to the Joint Venture agreement, DFI will reimburse Lion Fields\nUS$200,000 against a portion of Lion Fields' total project costs incurred to\ndate, following which the Joint Venture will be deemed to be formed between\nthe parties.\n\n\nDFI will be appointed operator of the Joint Venture with overall\nmanagement responsibility for the prospecting operations on the Property and,\namong other things, will be required to incur minimum exploration expenditures\nof US$200,000 over the existing term of the Property license (which is due to\nexpire in December 2008) and US$200,000 during each subsequent renewal term of\nthe license, if any, in order to maintain its interest in the Property.\n\n\nAs Lion Fields is controlled by Mr. Jean-Raymond Boulle, the largest\nshareholder of the Company and an insider of the Company, the Joint Venture\nconstitutes a "related party transaction" under Rule 61-501 of the Ontario\nSecurities Commission (the "Rule") and is subject to acceptance by the Toronto\nStock Exchange. The directors of the Company, all of whom are independent of\nLion Fields and Mr. B...