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VAULT MINERALS LIMITED Capital/Financing Update 2003
65991_rns_2003-08-19_83027a02-f0aa-4f5b-a771-759622de70e4.pdf
Capital/Financing Update
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ASX Shareholders Report
Enquiries regarding this report and company business may be directed $to:$
Greg Edwards Managing Director or Lance Govey Exploration Director
Level 1 43 Ventnor Avenue West Perth 6004 Tel: (+61) 8 9322 4455 Fax: (+61) 8 9481 5950
Web: www.red5limited.com
Email: [email protected]
Red 5 Limited is a publicly listed company on the ASXticker symbol.
The Board of Directors has mandated the executive to upgrade the gold focused exploration portfolio through rationalising existing properties whilst acquiring advanced properties.
Portfolio Rationalisation to Accelerate Evaluation and Early Development of the Siana Project
Red 5 has agreed to sell wholly owned subsidiary, Opus Exploration Pty Ltd, to ASX listed Range River Gold NL for \$1.7 million.
Opus is the beneficial holder of an earn-in phase at the Indee Gold Project JV, WA with Resolute Mining Limited. To date, approximately \$1.0 million has been spent on exploration and evaluation. A further \$0.85 million remains to be incurred to earn a 51 percent interest in the project. Opus also owns a 100% interest in two prospective tenements, 17 Mile Hill and Black Hills near Telfer, Western Australia.
The consideration comprises \$500,000 in cash and the balance in shares $(9,132,420)$ that equates to approximately 15 percent of the enlarged capital of Range River, with any holding greater than 15 percent subject to shareholder approval or cash substitution.
Red 5 will therefore retain a significant indirect interest in both assets whilst eliminating on-going financial commitments
This transaction continues the strategy to focus management and financial resources towards the early development of the Siana ore body and on-going evaluation of the Boyongan Corridor.
Nicholas Smith Chairman
21 August 2003