Business
Statement re Agreement
Statement re Agreement.
About this update from Sunrise Resources Plc
[{"type":"text","content":"\n Sunrise Diamonds PLC\n14 December 2005\n\n\n\n 14 December, 2005\n\n SUNRISE ACQUIRES DIAMOND EXPLORATION DATABASE FOR WHOLE OF FINLAND\n\n • BHP Billiton Database Gives Sunrise 6 Year Leap-Forward In Exploration\n Of Karelian Craton\n\n • Consideration Is Five-Year Option On 5m Sunrise Shares At 5p Each\n\n • BHP Billiton Has Right To Match Terms Of Any Third Party JV or\n Acquisition Offer\n_________________________________________________________________________________________\n\nSunrise Diamonds plc ('Sunrise' or 'the Company') is pleased to announce that it\nhas signed an agreement with BHP Billiton to acquire exclusive use of BHP\nBilliton's diamond exploration database for the whole of Finland. It includes\nresults from over 18,000 geochemical samples, 25,000 line km of close-spaced\nairborne geophysical data, a large archive of ground magnetic and drilling data\nand numerous evaluation reports. Sunrise estimates that this extensive database\nhas a replacement value of over US$10milllion.\n\nTerms for the acquisition are the issue to BHP Billiton of a 5-year option to\nacquire 5 million Sunrise shares at 5p each (a premium of 150% to the share\nprice on 13 December 2005) and granting it the right to match any third party\nterms for any future joint venture or acquisition of any Sunrise's diamond\nexploration projects in Finland. Should this result in a JV with BHP Billiton\nbeing established, BHP Billiton will also have the right to match the diamond\nmarketing terms and conditions offered by any third party.\n\nBHP Billiton acquired the diamond database in 2001 as a result of its takeover\nof Dia Met Minerals Ltd ('Diamet'), the Canadian exploration company whose main\nasset at that time was its Ekati diamond project in the Northwest Territories,\nwhich is now in production. The database was assembled from the results of 6\nyears' exploration (1994-2000) by Diamet in Finland and includes merged data\nfrom a joint venture with Australia's Ashton Mining. Ashton had been exploring\nin Finland since 1986 and had discovered 25 kimberlite pipes, mainly in the\nKaavi-Kuopio area near the south-west margin of the Karelian Craton.\n\nDiamet's exploration activities in Finland were directed by Chuck Fipke, the\npioneering geologist whose discovery of Ekati resulted from his dogged devotion\nto tracing kimberlitic indicat...