Canaf Group Inc.

Canaf Group Inc.

January 07, 2008 12:55 ET

Canaf Group Inc.: Further Update on Progress of Due Diligence for New Stone Mining Acquisition

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 7, 2008) - Canaf Group Inc. (TSX VENTURE:CAF) ("Canaf") announced today that minor, advantageous re-negotiations are to take place between New Stone Mining and Canaf Group.

After extensive due diligence investigations and discussions with the board of New Stone Mining, the board of Canaf have identified an opportunity to re-negotiate certain aspects of the agreement.

For various logistical reasons New Stone Mining are still in the process of transporting the mining equipment and machinery from Kinshasa to Kisangani in the Democratic Republic of the Congo. The original timescale originally stated will therefore be delayed and operations will most probably be starting in February 2008.

Canaf Group anticipates that details of the imminent re-negotiations will be available within the next week to ten days. The board still views the proposed acquisition of 51 percent of the shareholdings of New Stone Mining as a potentially highly profitable opportunity and looks forward to securing a new agreement between NSM and Canaf. If a new agreement is achieved, the acquisition will still be subject to financing and regulatory approval.

David Way, President and CEO

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Canaf Group Inc. - UK Office
    Christopher Way
    +44 (0) 1273 492100
    +44 (0) 1273 492175 (FAX)
    Ascenta Capital Partners Inc.
    Bryson Goodwin
    Investor Relations
    (604) 684-4743 ext. 239 or Toll Free: 1-866-684-4209
    (604) 939-1292 (FAX)