Business
JV with TransAsia Minerals
JV with TransAsia Minerals.
About this update from Jubilee Metals Group Plc
[{"type":"text","content":"\n Jubilee Platinum PLC\n16 October 2006\n\n Jubilee Platinum Plc\n\n ('Jubilee' or 'the Company')\n\n\n\nJubilee and TransAsia Minerals Limited Agree Joint Venture on Londokomanana and\n Itsindra Projects, Madagascar\n\n\n\nJubilee announces that it has entered into a Project Agreement with TransAsia\nMinerals Limited ('TransAsia' or 'TML') with regards to its Londokomanana (the\nNorthern Permit area) and the Itsindra property ('Itsindra') - collectively 'the\nProperties' - in Madagascar.\n\n\n\n\n\nHighlights\n\n\n\n• TML will expend an aggregate of US$10,000,000 - US$7,000,000 on\nLondokomanana and US$3,000,000 on Itsindra - on exploration over a three-year\nperiod to acquire an undivided 51% interest in the Properties\n\n\n\n• TML agrees to subscribe immediately for US$1,000,000 worth of Jubilee\nshares equivalent to 481,000 Jubilee shares at £1.10 per share, the proceeds of\nwhich are pledged for exploration and also to advance immediately further cash\nof US$1,000,000 for Londokomanana and Itsindra\n\n\n\n• TransAsia dilutes to 1% equity stake in the Properties if it defaults\non full funding requirements or elects not to continue funding the Properties\n\n\n\n• Jubilee after being vested with 49% interest can elect to fund its\nposition, sell its interest in the Properties, or dilute to 20% free carry to\nproduction\n\n\n\n• Jubilee will remain the operator of the Properties until completion of\nearn-in\n\n\n\n\n\nExploration on the Londokomanana property has included drilling, which\nintersected a 48 metre wide structure of nickel ('Ni') - copper ('Cu')\nmineralisation (as announced on 4 January 2006).\n\n\n\nThe Itsindra property is comprised of a large ultrabasic intrusive located 180\nkilometres southwest of the capital Antananarivo. Previous work on the property\nhas shown significant geophysic electromagnetic ('E-M') anomalies with a\ncombined strike length in excess of 20 kilometres.\n\n\n\nColin Bird, Chief Executive Officer of Jubilee, said: 'This agreement provides\nsignificant funding for our Madagascar exploration treasury without any\nsignificant dilution of our share register. Whilst the projects related to this\nagreement are early stage, both show good potential with Londokomanana having\nthe benefit of drillhole intercepts. The Londokomanana property shows high\nnickel potential and we will ret...