cfe involvment in lrs suspension?, page-3

interesting happenings for Latin Resources.


Highlights
Latin Resources acquires 14,068 ha of potential world class Iron and Heavy Mineral Sand deposit, adjacent to existing holding at Guadalupito.

Increases the Company?s tenements by more than 7 times to 16,268 ha at Guadalupito.

Consistent with strategy to develop Guadalupito into a potential flagship project located on the coast of Peru, close to port and other infrastructure.

Guadalupito has significant potential for multi commodity project including Magnetite, Gold, Andalusite, Ilmenite, Zircon, Rare Earths and Tungsten.

Purchase price US$20.035 million paid in installments over 10 years

"Latin Resources Limited (LRS.ASX) is delighted to advise it has reached agreement to acquire 20 mining concessions totaling 14,068 hectares of world class Iron and Heavy Mineral Sands tenements at Guadalupito in Peru.
Guadalupito is one of Latin Resources? most advanced projects and has the potential to become a world class Iron and Heavy Mineral Sand project. The project is located in close proximity to high quality infrastructure, being 10 kilometres from Chimbote, home to a major Port and one of the largest steel smelters in the country."

Latin Resources will seek shareholder approval pursuant to ASX Listing Rule 11.1.2 in connection with the transaction. Latin Resources will convene a meeting of shareholders and shareholders will be issued a notice of meeting containing the resolutions to be considered. The continuation of this transaction is subject to shareholder approval.
Latin Resources? Managing Director, Chris Gale was very pleased to announce this $20 million acquisition and extension of the Company?s Guadalupito Project in Peru.
?Acquiring tenements of this quality has potential to turn Latin Resources into one of the world?s pre-eminent producers of magnetite and heavy mineral sands,? Mr Gale said.
?We will now control more than 7 times the mineralised area in a location that is showing prospects as an extremely attractive standalone magnetite project.
?In addition to magnetite, previous surveys indicate promising evidence of gold, rare earths and heavy mineral sands, which for us are really just a bonus.
?The acquisition is consistent with the strategy to develop Guadalupito into a highly promising flagship project that has the additional benefit of being located only 10 km from a major port and a Brazilian owned steel smelter that is one of the largest in Peru.
?Capital costs for the project are expected to be low as only very simple beneficiation will be required; mother nature has done most of the hard work for us.
?The purchase price is payable by way of instalments over a 10 year period giving us considerable flexibility to consider a range of funding options including existing cash reserves, future cash flows and equity.
?We are delighted to announce this company making acquisition and will now focus our efforts on delineating a JORC compliant resource at Guadalupito.?