/THIS NEWS RELEASE AND THE INFORMATION CONTAINED HEREIN ARE NOT FOR DISTRIBUTION IN THE UNITED STATES/
VANCOUVER, July 8 /CNW/ - EurOmax Resources Ltd. ("EurOmax" or the "Company") is pleased to announce that it has received US$ 13,531,418 as an advance payment on the sale of its Bulagou property in China. This advance payment represents approximately 90% of the funds from the sale of the property after withholding taxes. The sale is expected to close during July 2009 at which time the remaining 10% of the sale price of approximately US$1.46 million will be received by the Company.
About EurOmax
EurOmax is a mineral exploration company focused on properties in Bulgaria, Macedonia and Serbia. The Company completed a Plan of Arrangement (the "Plan") to acquire Silk Road Resources Ltd. the original owner of the Bulagou property. As a result of the Plan, EurOmax has 119,062,039 shares outstanding.
As a result of the receipt of the proceeds from the sale of the Bulagou
property, EurOmax intends to:
(i) commence drilling programs on its Ilovitza and Kazandol projects
in Macedonia;
(ii) commence a geophysical and drilling program on its Ceovishte
project in Serbia; and
(iii) complete the minimum drilling program required by its option
agreements with Freeport McMoRan Exploration Company.
At Ilovitza, EurOmax anticipates the first phase of the 2009 program will involve drilling two 750 metre diamond drill holes to test the potential core of the porphyry copper-gold system. A NI 43-101 compliant inferred mineral resource of 303 million tonnes grading 0.51% copper equivalent has been identified immediately adjacent to this potential core of the porphyry copper-gold system.
At Kazandol, the program will consist of 5,000 metres of reverse circulation drilling, 4,000 metres of trenching and metallurgical testwork. This program is designed to identify a potential mineral resource on the northern portion of the Kazandol licence and complete reconnaissance for potential expansion in the southern portion of the licence.
At Ceovishte, the geophysical survey is designed to identify drill targets within a 1.4 kilometre by 1 kilometre silica breccia at the southern end of a 5 kilometre long zone of strong alteration and ancient mine workings. A 2,000 metre drilling program is planned for the identified drill targets.
For further information regarding the resource estimate on the Ilovitza project, please refer to EurOmax's technical report entitled "Technical Report with Copper Gold Resources on the Ilovitza Project, Macedonia, on behalf of EurOmax Resources Limited, dated August 7, 2008 by G.S. Carter, P. Eng. and Broad Oak Associates" which is available under EurOmax's profile at www.sedar.com.
John Menzies, CEO of EurOmax commented, "this is an outstanding start for EurOmax after its merger with Silk Road. The Company is now fully funded to advance its copper-gold exploration portfolio in SE Europe and we are looking forward to some exciting results during the latter half of 2009."
John Menzies, a qualified person as defined by National Instrument 43-101, supervised the preparation of the information in this release.
CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to the operations and financial condition of EurOmax and the completion of the sale of the Bulagou property. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Many of these assumptions are based on factors and events that are not within the control of EurOmax and there is no assurance they will prove to be correct. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of EurOmax to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the integration of acquisitions, risks related to international operations, actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined and although EurOmax has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. EurOmax does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. On Behalf of the Board of Directors "John C. Menzies" Chief Executive Officer ------------------------------------------------------------------------- EurOmax Resources Limited is listed on TSX Venture Exchange Symbol: EOX -------------------------------------------------------------------------