Mindoro Resources transfers Sumatra gold project to Asian Minerals

Canadian junior mineral explorer Mindoro Resources Ltd. on Thursday announced it had entered agreement with Asian Minerals Pty Ltd., a private Australian-Indonesian company, on its Tiris Project, Sumatra, Indonesia.

Under the agreement Mindoro has assigned to Asian Minerals its Malaysian and Indonesian holding companies and their sole asset, the Tiris Contract of Work (CoW). Mindoro will retain a 0.5 percent net smelter royalty on the first 500,000 ounces of gold production, 1 percent on the next 500,000 ounces of production, and 1.5 percent on all subsequent production.

The Tiris Project has several gold prospects, the most important of which is the Harimau Prospect, an epithermal gold system exhibiting strong and widespread alteration, with accompanying anomalous gold values and mineralization over an area of at least five by two kilometers.

"The potential of the Harimau Prospect, and other prospects at Tiris, is considered high, and the discovery of a commercially viable gold deposit would provide an attractive return to Mindoro under the terms of this

agreement," said Mindoro President Tony P. Geol.

Geol said Mindoro entered into the agreement so that it can focus on advancing its high-potential portfolio of projects in the Philippines.(alex)