Miramar Mining & Hope Bay Gold Agree to Sell Elu Belt near Hope Bay

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Apr 27, 2001, 01:00 ET from Miramar Mining Corporation

    VANCOUVER, April 27 /PRNewswire/ - Miramar Mining Corporation and Hope
 Bay Gold Corporation today reported that they have agreed to sell to Sherwood
 Petroleum Corporation ("Sherwood"), approximately 10,000 hectares in 11 Crown
 mineral claims on the Elu greenstone belt in Nunavut Territory. The Elu
 Property is located approximately 30 kilometres northeast of the Hope Bay
 belt, an 80km long greenstone belt where Miramar and Hope Bay Gold currently
 have a major exploration program underway to potentially expand a previously
 announced gold resource(x).
     "Once finalized, this agreement will result in each of Miramar and Hope
 Bay Gold holding 27% of the issued and outstanding shares of Sherwood(x). This
 provides Miramar and Hope Bay Gold with the opportunity for a separate company
 to focus entirely on the potential of the Elu belt." said Tony Walsh,
 Miramar's President and CEO. "With the abundance of opportunities on the Hope
 Bay belt, the Elu belt was not a priority for the Hope Bay Joint Venture. This
 agreement will allow Miramar and Hope Bay Gold to benefit from any potential
 discoveries on the Elu belt, without diverting energies and financial
 resources from exploration at Hope Bay(x)."
     The Elu belt is a typical greenstone belt, comprised of mafic and felsic
 volcanics with minor sediments, and is transected by a north trending iron
 carbonate altered shear zone. This geologic setting is analogous to that of
 the Hope Bay belt and the two belts may be geologically related(x).
 Reconnaissance exploration of the Elu belt by the Hope Bay Joint Venture
 during 2000 identified several targets prospective for the discovery of gold
 mineralization(x). However, given the large number of prospective targets
 identified within the Hope Bay belt, no work was planned for the Elu belt in
 2001 and Miramar and Hope Bay Gold determined that the potential of the Elu
 belt could be better evaluated by separately funding these activities.
     "We have just begun the evaluation of the potential of the Elu belt,"
 reported David Fennell, Hope Bay Gold's Chairman and CEO. "The geologic
 similarities between the Hope Bay and Elu belts suggest potential for the
 discovery of gold deposits in settings similar to those discovered at Hope Bay
 and Sherwood will now give the Elu Belt the attention it deserves(x)."
 Following closing of the purchase agreement, Sherwood proposes to undertake a
 significant summer exploration program to evaluate the potential of the Elu
 belt(x).
 
     Terms of Sale
     -------------
     Sherwood has agreed to acquire all of Miramar's and Hope Bay Gold's
 rights in the Elu Property in consideration of the issuance by Sherwood of
 10,000,000 units of Sherwood (5,000,000 units to each of Miramar Hope Bay Ltd.
 (the subsidiary that owns Miramar's interest in Hope Bay) and Hope Bay Gold)
 at a deemed price of $0.25 per unit. Each unit will be comprised of one common
 share in the capital of Sherwood and one common share purchase warrant of
 Sherwood. Each warrant will entitle the holder to purchase one additional
 common share during the period expiring two years from date of the issuance of
 the warrants at a price of $0.40 per common share, payable in cash.
     Sherwood will have the right to acquire any additional mineral claims
 staked within a perimeter of 7km east and west and 20km north and south of the
 Elu property, but Sherwood cannot acquire any properties within 10km of the
 existing Hope Bay properties.
     This agreement is subject to, among other things, approval by the
 shareholders of Sherwood and to regulatory approval. Closing of the agreement
 is targeted to allow a summer work program to be undertaken.
 
     Sherwood
     --------
     Sherwood is a CDNX listed company with approximately 5.1 million shares
 issued. As a condition of closing, Sherwood must raise $800,000 primarily to
 fund work at Elu and for general corporate purposes. Sherwood intends to
 complete a brokered private placement of a minimum of 3,200,000 units at a
 price of $0.25 per unit for minimum gross proceeds of $800,000.
 
     Map
     ---
     A map locating the areas described herein is attached to this news
 release. If you are missing this map, please download this news release from
 Miramar's or Hope Bay Gold's websites at http://www.miramarmining.com/ or
 http://www.hbgold.com/, to which they are attached, or contact us at the
 numbers listed below.
 
     (x)The statements contained in this News Release relating to the
 agreement with Sherwood Petroleum Corporation are forward-looking statements
 within the meaning of the United States Private Securities Litigation Reform
 Act of 1995. These forward-looking statements are subject to a variety of
 risks and uncertainties which could cause actual events or results to differ
 materially from those reflected in this forward-looking statement, including,
 without limitation: required shareholder or regulatory approvals of the
 agreement not being obtained; Sherwood being unable to raise the financing
 required to complete future work on the Elu belt; changes in planned work
 resulting from weather, logistical, technical or other factors; the results of
 work not fulfilling expectations and not realizing perceived potential;
 Sherwood in future pursuing business opportunities other that exploration of
 the Elu belt accidents, equipment breakdowns and labour disputes or other
 unanticipated difficulties or interruptions; and other risks and
 uncertainties, including those described in the Miramar's Annual Report on
 Form 20-F for the year ended December 31, 1999 and Reports on Form 6-K filed
 with the Securities and Exchange Commission and Hope Bay Gold's Annual
 Information Form ("AIF") filed with the Ontario Securities Commission, the
 Quebec Securities Commission, and other regulatory authorities, respectively.
 Hope Bay Gold Corporation's AIF was filed under the previous name of Cambiex
 Exploration Inc.
 
     All resource estimates reported in this disclosure are calculated in
 accordance with the Toronto Stock Exchange national Instrument 43-101 and the
 Canadian Institute of Mining and Metallurgy Classification system. These
 standards differ significantly from the requirements of the United States
 Securities and Exchange Commission, and resource information reported in this
 disclosure may not be comparable to similar information reported by United
 States Companies. The terms "Resource(s)" does not equate to "reserves" and
 normally may not be included in documents filed with the Securities and
 Exchange Commission. "Resources" are sometimes referred to as "mineralization"
 or " mineral deposits". Certain forward-looking statements in this news
 release are indicated with a "(x)".
 
     This news release has been authorized by the undersigned on behalf of
 Miramar Mining Corporation and Hope Bay Gold Corporation Inc., respectively.
 
     Anthony P. Walsh                          David Fennell
     President & CEO                           Chairman & CEO
     Miramar Mining Corporation                Hope Bay Gold Corporation Inc.
 
     BUSINESS/PHOTO EDITORS: Copies of the Hope Bay Joint Venture map of the
 "Elu Belt and Surroundings" is available by fax by calling Canada NewsWire,
 Vancouver, at (604) 669-7764.
 
 

SOURCE Miramar Mining Corporation
    VANCOUVER, April 27 /PRNewswire/ - Miramar Mining Corporation and Hope
 Bay Gold Corporation today reported that they have agreed to sell to Sherwood
 Petroleum Corporation ("Sherwood"), approximately 10,000 hectares in 11 Crown
 mineral claims on the Elu greenstone belt in Nunavut Territory. The Elu
 Property is located approximately 30 kilometres northeast of the Hope Bay
 belt, an 80km long greenstone belt where Miramar and Hope Bay Gold currently
 have a major exploration program underway to potentially expand a previously
 announced gold resource(x).
     "Once finalized, this agreement will result in each of Miramar and Hope
 Bay Gold holding 27% of the issued and outstanding shares of Sherwood(x). This
 provides Miramar and Hope Bay Gold with the opportunity for a separate company
 to focus entirely on the potential of the Elu belt." said Tony Walsh,
 Miramar's President and CEO. "With the abundance of opportunities on the Hope
 Bay belt, the Elu belt was not a priority for the Hope Bay Joint Venture. This
 agreement will allow Miramar and Hope Bay Gold to benefit from any potential
 discoveries on the Elu belt, without diverting energies and financial
 resources from exploration at Hope Bay(x)."
     The Elu belt is a typical greenstone belt, comprised of mafic and felsic
 volcanics with minor sediments, and is transected by a north trending iron
 carbonate altered shear zone. This geologic setting is analogous to that of
 the Hope Bay belt and the two belts may be geologically related(x).
 Reconnaissance exploration of the Elu belt by the Hope Bay Joint Venture
 during 2000 identified several targets prospective for the discovery of gold
 mineralization(x). However, given the large number of prospective targets
 identified within the Hope Bay belt, no work was planned for the Elu belt in
 2001 and Miramar and Hope Bay Gold determined that the potential of the Elu
 belt could be better evaluated by separately funding these activities.
     "We have just begun the evaluation of the potential of the Elu belt,"
 reported David Fennell, Hope Bay Gold's Chairman and CEO. "The geologic
 similarities between the Hope Bay and Elu belts suggest potential for the
 discovery of gold deposits in settings similar to those discovered at Hope Bay
 and Sherwood will now give the Elu Belt the attention it deserves(x)."
 Following closing of the purchase agreement, Sherwood proposes to undertake a
 significant summer exploration program to evaluate the potential of the Elu
 belt(x).
 
     Terms of Sale
     -------------
     Sherwood has agreed to acquire all of Miramar's and Hope Bay Gold's
 rights in the Elu Property in consideration of the issuance by Sherwood of
 10,000,000 units of Sherwood (5,000,000 units to each of Miramar Hope Bay Ltd.
 (the subsidiary that owns Miramar's interest in Hope Bay) and Hope Bay Gold)
 at a deemed price of $0.25 per unit. Each unit will be comprised of one common
 share in the capital of Sherwood and one common share purchase warrant of
 Sherwood. Each warrant will entitle the holder to purchase one additional
 common share during the period expiring two years from date of the issuance of
 the warrants at a price of $0.40 per common share, payable in cash.
     Sherwood will have the right to acquire any additional mineral claims
 staked within a perimeter of 7km east and west and 20km north and south of the
 Elu property, but Sherwood cannot acquire any properties within 10km of the
 existing Hope Bay properties.
     This agreement is subject to, among other things, approval by the
 shareholders of Sherwood and to regulatory approval. Closing of the agreement
 is targeted to allow a summer work program to be undertaken.
 
     Sherwood
     --------
     Sherwood is a CDNX listed company with approximately 5.1 million shares
 issued. As a condition of closing, Sherwood must raise $800,000 primarily to
 fund work at Elu and for general corporate purposes. Sherwood intends to
 complete a brokered private placement of a minimum of 3,200,000 units at a
 price of $0.25 per unit for minimum gross proceeds of $800,000.
 
     Map
     ---
     A map locating the areas described herein is attached to this news
 release. If you are missing this map, please download this news release from
 Miramar's or Hope Bay Gold's websites at http://www.miramarmining.com/ or
 http://www.hbgold.com/, to which they are attached, or contact us at the
 numbers listed below.
 
     (x)The statements contained in this News Release relating to the
 agreement with Sherwood Petroleum Corporation are forward-looking statements
 within the meaning of the United States Private Securities Litigation Reform
 Act of 1995. These forward-looking statements are subject to a variety of
 risks and uncertainties which could cause actual events or results to differ
 materially from those reflected in this forward-looking statement, including,
 without limitation: required shareholder or regulatory approvals of the
 agreement not being obtained; Sherwood being unable to raise the financing
 required to complete future work on the Elu belt; changes in planned work
 resulting from weather, logistical, technical or other factors; the results of
 work not fulfilling expectations and not realizing perceived potential;
 Sherwood in future pursuing business opportunities other that exploration of
 the Elu belt accidents, equipment breakdowns and labour disputes or other
 unanticipated difficulties or interruptions; and other risks and
 uncertainties, including those described in the Miramar's Annual Report on
 Form 20-F for the year ended December 31, 1999 and Reports on Form 6-K filed
 with the Securities and Exchange Commission and Hope Bay Gold's Annual
 Information Form ("AIF") filed with the Ontario Securities Commission, the
 Quebec Securities Commission, and other regulatory authorities, respectively.
 Hope Bay Gold Corporation's AIF was filed under the previous name of Cambiex
 Exploration Inc.
 
     All resource estimates reported in this disclosure are calculated in
 accordance with the Toronto Stock Exchange national Instrument 43-101 and the
 Canadian Institute of Mining and Metallurgy Classification system. These
 standards differ significantly from the requirements of the United States
 Securities and Exchange Commission, and resource information reported in this
 disclosure may not be comparable to similar information reported by United
 States Companies. The terms "Resource(s)" does not equate to "reserves" and
 normally may not be included in documents filed with the Securities and
 Exchange Commission. "Resources" are sometimes referred to as "mineralization"
 or " mineral deposits". Certain forward-looking statements in this news
 release are indicated with a "(x)".
 
     This news release has been authorized by the undersigned on behalf of
 Miramar Mining Corporation and Hope Bay Gold Corporation Inc., respectively.
 
     Anthony P. Walsh                          David Fennell
     President & CEO                           Chairman & CEO
     Miramar Mining Corporation                Hope Bay Gold Corporation Inc.
 
     BUSINESS/PHOTO EDITORS: Copies of the Hope Bay Joint Venture map of the
 "Elu Belt and Surroundings" is available by fax by calling Canada NewsWire,
 Vancouver, at (604) 669-7764.
 
 SOURCE Miramar Mining Corporation