|July 07, 2004|
MINCO OUTLINES STRATEGIC PLAN FOR ITS CHINA PROPERTIES
|Minco Mining & Metals Corporation ("MINCO") (TSX: "MMM") is pleased to announce its strategic plans to progress recent acquisitions speedily through feasibility study stages and on to development. Through recent announcements MINCO has stated its intention to be diversified into gold, silver and base metals projects.|
Top priority is the Changkeng Gold Project in Guangdong Province, South China where the near-surface, high grade gold deposit will be amenable to early development. An aggressive exploration program has commenced to delineate the deposit, expand the existing resource base, upgrade the resource estimates and carry out metallurgical testing preparatory to initiating a feasibility study. At this juncture, it is planned that Changkeng be developed and mined from underground while exploration is carried out on the adjacent Fuwan Silver property to delineate the large high grade silver deposit.
Fuwan Silver Project will form the core asset of the recently announced Minco Silver Ltd., a wholly owned subsidiary company. Through Minco Silver Ltd., the company plans to acquire other quality silver assets in China.
The second priority target is the Yangshan Gold Belt in Gansu Province, where MINCO has the Anba Project, and the more recently acquired on-strike nearby Guanniuwan Licence, one of three licences in the Yangshan Extension Joint Venture. Guanniuwan has a large number of surface gold workings which demonstrate its potential.
White Silver Mountain Project will be the prime asset of MINCO's newly formed subsidiary Minco Base Metals Ltd., where MINCO has a 61% earned interest in the depth extension of the producing massive sulfide deposit, has potential for development within a short time frame. All the mining and processing infrastructure is in place and incremental costs for development will be correspondingly low. The ore shoots are open at depth and further work is required to test these limits, prior to preparation of a feasibility study. MINCO plans more base metals acquisitions to be included within Minco Base Metals Ltd.
MINCO's other gold assets are in Inner Mongolia and include: BYC Gold Project and Gobi Gold Project. Through a farm-in agreement on BYC Gold, New Cantech Ventures Inc. is funding a comprehensive 2004 exploration program to include diamond drilling. MINCO has a 54% earned interest in Gobi Gold, and will conduct further exploration as soon as the above priorities permit. Both these stratabound, disseminated gold projects have excellent potential, and will be included in the strategic plan subject to the results of further exploration.
Dr Ken Cai, President and CEO, comments: "Recent acquisition of the Changkeng Gold and Fuwan Silver projects has radically changed MINCO's priorities. As our primary objective, we see the opportunity to progress Changkeng rapidly to the feasibility stage while we delineate the Fuwan Silver project. In the Yangshan Gold Belt there is significant potential to increase the resource base through addition of the Guanniuwan gold project to the nearby Anba property.
Through the wholly owned subsidiaries of Minco Silver Ltd and Minco Base Metals Ltd we are highlighting the significance of these key assets that are in addition to our quality gold projects.
Registration of Minco Mining (China) Ltd., and our recent agreement with China Gold Geological Corporation has positioned MINCO to acquire further prime gold, silver and base metals assets in the near future. The company will use its 10 years of accumulated expertise in China both to obtain exploration ventures through strategic partnerships, and to progress advanced projects to production within a short time frame. To this end we are adding to our management and operations teams in China and Canada. All of these achievements in the past six months have positioned MINCO to be one of the foremost foreign mining companies in China."
This news release has been reviewed and approved for release by William Meyer, P.Eng. Chairman of the Board, and designated Qualified Person.
For further information, please contact Michael G. Legg, P.Eng., Executive Vice President at Minco at 1-888-288-8288 or (604) 688-8002 email@example.com www.mincomining.ca
The Toronto Stock Exchange does not accept responsibility for the accuracy of this news release. Certain terms or statements made that are not historical facts, such as anticipated advancement of mineral properties or programs, productions, sales of assets, exploration plans or results, costs, prices, performance are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties that could cause actual results to differ materially from those projected, anticipated, expected or implied. These risks and uncertainties include, but are not limited to; metals price volatility, volatility of metals production, project development risks and ability to raise financing. Refer to the Company's Form 20-F and Form 6-K reports for a more detailed discussion of factors that may impact future results. The Company undertakes no obligation and has no intention of updating forward-looking statements.