Australian Securities ExchangeCompany Announcements Office26...

Australian Securities Exchange
Company Announcements Office
26 May, 2008
By Electronic Lodgement
BOWEN ENERGY LIMITED
SPINS-OFF NON-COAL PROJECTS
BOWEN NOW A FOCUSSED COAL COMPANY
Bowen Energy Limited (BWN) is pleased to announce it has decided to divest (or
“spin-off”) the Company’s considerable portfolio of non-coal (metals) projects.
Bowen has formed a new subsidiary, Capricorn Metals Limited, with a view to
Capricorn raising up to $2.5 million in capital via an Initial Public Offer (IPO) on the
Australian Stock Exchange (ASX), to fund on-going minerals exploration and
development.
Managing Director Kevin Nichol, said, “Bowen is now a pure coal company. The
divestment of non-coal assets allows Bowen to maintain its focus on coal, while
ensuring our highly prospective non-coal projects get the attention they deserve.”
Bowen shareholders will be offered a priority allocation of shares in Capricorn Metals.
The Company is currently preparing an Independent Geologist’s Report for inclusion
in the Capricorn Prospectus.
The Board believes this proposal will substantially benefit all Bowen shareholders,
and significantly enhance Bowen’s ability to attract major investors seeking low cost
exposure to soaring coal prices.
Mr Nichol added, “The market currently gives Bowen no value for its non-coal assets,
so this spin-off sees Bowen becomes a focussed coal company and Capricorn
become a new copper, uranium and gold explorer.
Ultimately we are trying to realise the full value of both our coal and non-coal assets,
and satisfy the market’s demand for more value coal stocks to invest in.
By any measurement, Bowen Energy remains significantly undervalued compared to
other coal exploration companies. We hope his divestment makes it easier for
investors to recognise the value in our stock and the upside potential we can deliver
from our current coal exploration program in the Bowen Basin.”
The following tenements, which are prospective for base metals, will form the core of
Capricorn Metals’ assets.
Tenement Area sq.
km
Minerals
Glen Isla EPM 14910 36 U/Ag. Cu/Au
Archie Creek EL 80/3537, 80/3898 438 U/Cu/Au/F/V
Croydon EPMA16267,16272, 16273, 16274, 16276, 16277, 16279, 16278,
6280, 16281, 16282
3300 U+Cu,Ni,PGE
Bullseye
Creek
EPMA 16269, 16270, 16271, 310 U/Au/Ag
Blackbraes EPMA 16114, 16275, 16268 840 U/Au/Cu/Pb/Zn
Pinnacle EPMA15917 225 Au/Ag/Cu/Pb/Zn
Kevin Nichol – Managing Director
For further information please contact: Kevin Nichol Tony Dawe
Managing Director Dawe Media Group
Bowen Energy Limited Mob: 041 3322 110
Mob: 0418 470 238