MRC wake up!!!, page-3

re: MRC wake up!!! DIRT CHEAP!



Sydney - Tuesday - June 25: (RWE) - Mineral Commodities Ltd
today said it would proceed with a pre-feasiblity study on the Xolobeni
Project in the Eastern Cape, after finalising an agreement for an
initial funding injection by the South African Export Development Fund.
The Xolobeni mineral sands project is on South Africa's east
coast.
The fund has the option to acquire equity both directly in the
Xolobeni Project and a stake in Mineral Commodities, and has a six-month
mandate to present a funding proposal for the development of Xolobeni,
including a new smelting operation.
The fund will initially invest about $2.9 million to acquire 10
per cent of Mineral's subsidiary MRC Resources Pty Ltd.
It will have the right to convert this equity in MRC Resources
into shares in Mineral Commodities up until December 31 2003 on the
basis of converting the investment into 5.17 million shares at about 56c
a share.
MRC is increasing its interest in the holding company which owns
the Xolobeni Project from 49 per cent to 80 per cent.
Mineral Commodities, through MRC Resources, currently owns 49
per cent of the project and has spent $420,000 of its $1 million
expenditure commitment to earn an additional 26 per cent.
The Xolobeni Project is expected to generate an operating
revenue of $150 million a year over a long project life of more than 20
years.
Shares in Mineral Commodities were up 2c to 17c this morning.
ENDS