TVI Pacific Inc. announces that Foyson Resources Limited released results of the first diamond drilling program at Atui Porphyry project, New Britain Island, PNG
CALGARY, Nov. 27, 2012 /CNW/ - TVI Pacific Inc. ("TVI" or the "Corporation") (TSX:TVI) (OTCQX:TVIPF) announced today that on November 21, 2012, Foyson Resources Limited ("Foyson"), in which TVI currently holds a 9.96% equity stake as a result of its recently announced investment transaction, released encouraging results of the first diamond drilling program and an induced polarisation survey at the Atui Porphyry project, within Foyson's EL1642 on New Britain Island, PNG. Foyson conducted the underlying work that it reported on. The Atui Porphyry project is part of the New Britain Joint Venture ("NB Joint Venture"), one of two joint ventures between Foyson and TVI. The NB Joint Venture was negotiated as part of an investment package signed and announced on August 28, 2012, finalization of which is subject to certain conditions to be fulfilled and subject to final due diligence by TVI. All dollar amounts in this news release are in Australian Dollars unless otherwise indicated.
Foyson's announcement can be accessed on Foyson's website at http://www.milresources.com/files/FOY_news_1211211.pdf or on the Australian Securities Exchange at http://www.asx.com.au/asx/research/companyInfo.do?by=asxCode&asxCode=foy#headlines
Mr. Clifford M. James, President and Chief Executive Officer for TVI stated: "As a joint venture partner we are pleased to see these encouraging results announced by Foyson."
The NB Joint Venture agreement provides that: (i) TVI will commit to a minimum expenditure on NB Joint Venture of A$1.25 million in the twelve months following the date on which all applicable joint venture conditions are satisfied (the "Stage 1 Farm-in Obligation"); (ii) TVI will refund to Foyson any expenditures incurred by Foyson on the New Britain Island tenements since July 1, 2012, provided such expenditure has previously been approved by TVI (with such reimbursed amounts being creditable against TVI's spending commitments under the applicable joint venture agreement); (iii) TVI will earn a 12.5% interest in NB Joint Venture as a result of wholly satisfying the Stage 1 Farm-in Obligation; and (iv) TVI will have the right to earn a further 42.5% interest in NB Joint Venture by spending an additional A$5.25 million within 12 months following completion of the Stage 1 Farm-in Obligation.
Foyson is an Australian company engaged in mining exploration in Papua New Guinea. The common shares of Foyson are listed on the Australian Securities Exchange. Foyson trades under the symbol FOY on the ASX.
TVI is a publicly-traded Canadian company focused on the production, development, exploration and acquisition of resource projects in the Philippines and Southeast Asia. TVIRD produces copper and zinc concentrates from its Canatuan mine. TVI has an indirect interest in an offshore Philippine oil property and is a partner in several joint venture projects in the Philippines and Papua New Guinea.
Forward Looking Statements
This news release contains a link to a press release that includes certain forward-looking information (referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "intend", "estimate", "scheduled", "expect", "may", "will", "should", or similar words suggesting future activities or outcomes. Such forward-looking statements include plans for the Atui Joint Venture to embark on an exploration program and a subsequent multiple hole drill program in 2013.
Forward-looking statements are subject to certain risks and uncertainties that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements. With respect to the future plans, those risks and uncertainties include the results of the anticipated exploration program, the ability of the Atui Joint Venture to undertake such future programs, that future exploration results may differ materially from those anticipated as a result of the currently reported results, as well as governmental and other risks typical of very early stage exploration projects.
TVI does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, except as required by applicable Canadian securities law. The forward-looking statements are expressly qualified by this cautionary statement.
The Toronto Stock Exchange has neither approved nor disapproved of the information contained herein.
SOURCE TVI Pacific Inc.