Intrepid Mines Limited (TSX: IAU)(TSX: IXN)(ASX: IAU), an international gold and silver production, development and exploration company, is pleased to provide an update on the status of the previously announced (see press release dated September 17, 2007) merger with Emperor Mines Limited (ASX: EMP).
Merger Milestones Achieved:
- Due diligence conditions precedent have been completed to each party's satisfaction, and
- Emperor Mines Limited has today confirmed that the book build for the sell-down of DRDGOLD's entire share position in Emperor has been completed. This is a key condition precedent of the proposed merger with settlement of the placement expected before the end of the month.
The new company, to be named Intrepid Mines Limited, will be a dynamic and well funded international gold producer, developer and explorer listed on both the TSX and ASX.
The combination of Emperor balance sheet strength, Intrepid's producing Paulsens Gold Mine and Casposo development project, and both companies' exploration assets, together with the combined skills of the two management teams, will create a well balanced company capable of adding significant value for its shareholders.
The merger will take place by way of a Scheme of Arrangement, with Emperor shareholders, including sell-down placees, receiving 1 Intrepid share for every 4.25 Emperor shares held.
Both companies continue to work towards satisfaction of remaining conditions precedent (including, but not limited to, Court approval of the Scheme of Arrangement in Western Australia, approval by Intrepid and Emperor shareholders, and regulatory approvals), with a target date to complete the merger in January 2008.
About Intrepid Mines:
Intrepid Mines Limited is an international gold and silver production, development and exploration company. The Company's producing property is the Paulsens Gold Mine, located in northwestern Australia. The Company's advanced development property is the Casposo Project located in San Juan Province, Argentina. The Company's exploration properties are located in Argentina, El Salvador, Mexico, Australia and Canada. The issued capital is 181,573,419 shares comprised of 163,686,266 ordinary shares of Intrepid Mines Limited on the TSX:IAU
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
This release contains certain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX & ASX has neither approved nor disapproved the information contained in this press release. Except for statements of historical fact relating to the Corporation, certain information contained herein constitutes "forward-looking statements". Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. Circumstances or management's estimates or opinions could change. The reader is cautioned not to place undue reliance on forward-looking statements.
ABN: 11 060 156 452
Intrepid Mines Limited - TORONTO, CANADA
VP Investor Relations
Intrepid Mines Limited - PERTH, AUSTRALIA
Chief Financial Officer
+61 8 9346 0000