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Acquisition.
About this update from Metals Exploration Plc
[{"type":"text","content":"\n Metals Exploration PLC\n14 August 2007\n\n\n\n14 August 2007\n\n METALS EXPLORATION PLC\n\n ACQUISITION OF RIGHTS TO NICKEL LATERITE OPPORTUNITY\n\nThe Board of Metals Exploration PLC ('the Company') (AIM: MTL), the UK based\nprecious and base metals exploration company focused in the Pacific Rim Region\nis pleased to announce that it has entered into an agreement with PT Batan\nPelei Mining to acquire rights to various properties on Waigeo Island in\nIndonesia for a total consideration of US$100,000.\n\nHIGHLIGHTS:\n\n • Potential for major nickel laterite resource.\n\n • Historic drilling identified 'non-JORC compliant' resources of 35 mt\n @ 1.5% Ni, 0.13% Co, 37% Fe.\n\n • Exclusive right to explore and operate.\n\n • US$100,000 entry price for low Capex opportunity.\n\n • Revenue sharing arrangement in the event of economic operation.\n\nMetals Exploration has, through an Indonesian subsidiary, PT Cupati, entered\ninto an agreement with an Indonesian company, PT Batan Pelei Mining (BPM), to\nregulate the terms on which both parties will cooperate on the exploration and\npotential commercial exploitation of certain properties ('KPs') held by BPM on\nWaigeo Island in Indonesia.\n\nThe Waigeo Island Nickel Project\n\nBPM has granted Metals Exploration an exclusive right in connection with the\nKPs.\n\nHistorical drilling and pitting by PT Pacific Nikkel Indonesia (Pacific Nikkel)\nduring the 1970s reportedly identified in-situ drilled resources of laterite\n(limonite) deposits within the area encompassed by the KP of 35 mt @ 1.5% Ni,\n0.13% Co, and 37% Fe at a 1.1% Ni Cut-off. Pacific Nikkel was an American and\nDutch consortium owned by United States Steel Corporation, Newmont Mining\nCorporation, Sherritt Gordon Mines Limited, Koninklijke Nederlandsche Hoogovens\nen Staalfabrieken N.V. and Internatio-Mueller N.V.\n\nDue diligence work by the Company included several site visits by an independent\ngeologist and Company personnel where evidence of previous drilling was\nobserved.\n\nThe Company's immediate target is the Sarenbon nickel laterite (limonite)\ndeposit, where historical drilling and pitting by Pacific Nikkel reportedly\nidentified an in-situ drilled non-JORC compliant resource of 15.7 mt @ 1.53% Ni,\n0.14% Co, and 34% Fe at a 1.1% Ni Cut-off. It is the immediate intention to\ntest the potential at Sare...