For immediate release
September 25, 2006
MEDIA RELEASE
DE BEERS CANADA SELLS PARTICIPATING INTEREST IN
FORT A LA CORNE DIAMOND JOINT VENTURE
Toronto, Monday, September 25, 2006 - De Beers Canada Inc. confirms it has agreed to sell its entire 42.245% interest in the Fort à la Corne joint venture project in Saskatchewan to Kensington Resources Ltd., a wholly owned subsidiary of Shore Gold Inc., for C$180 million in cash.
The agreement will be completed and closed following the registration of mineral disposition transfers of the Fort à la Corne JV properties.
“This deal makes sense for the Fort à la Corne project as it allows for unitization of the assets previously held by the joint venture with the neighbouring Star kimberlite held by Shore Gold. This will improve the viability of the kimberlite field and make way for Shore Gold to develop the project,” said Jim Gowans, President and CEO of De Beers Canada.
De Beers is currently constructing two mines in Canada, Snap Lake in the NWT and Victor in Ontario. A third project, Gahcho Kue (a joint venture with Mountain Province, also in the NWT) is well advanced and is undergoing an environmental assessment. In addition to a range of joint venture and option agreements, the company continues to dedicate significant resources to early stage exploration and investment in new exploration technologies in Canada.
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| For further information contact: |
Linda Dorrington
Manager Public and Corporate Affairs
De Beers Canada Inc
Telephone: 416-645-1710 ext 2107
Mobile: 416-818-2254
Email: linda.dorrington@ca.debeersgroup.com
Or
Ashley Brown
External Communications Coordinator
De Beers Canada Inc.
Telephone: 416-645-1710 ext 2128
Email: ashley.brown@ca.debeersgroup.com
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