Angus Mining (Namibia) Inc.
TSX VENTURE : ANA

Angus Mining (Namibia) Inc.

February 01, 2012 09:04 ET

Angus Mining Strategic Update: Ondundu Gold Project

TORONTO, ONTARIO--(Marketwire - Feb. 1, 2012) - Angus Mining (Namibia) Inc. ("Angus Mining" or the "Company") (TSX VENTURE:ANA) is pleased to provide a strategic update related to the Ondundu Gold Project in Namibia.

Angus Mining has entered into an agreement with its joint venture partner Forsys Metals Corp. ("Forsys"), whereby Angus Mining will;

  • Relinquish its role as operator of the Ondundu Gold Project
  • Relinquish its right to a 42.6% interest in the Ondundu Gold Project
  • Relinquish its right to earn a further 24.9% interest in the Ondundu Gold Project

In return;

  • Forsys will return for cancellation 3,000,000 shares and 3,000,000 share purchase warrants in Angus Mining, representing approximately 7.26% of the outstanding shares of the Company, and approximately 10.68%% of the outstanding warrants of the Company
  • Forsys will assume approximately $C300,000 in Angus Mining payables related to the Ondundu Gold Project
  • Angus will receive a 20% fully free carried interest in the Ondundu Gold Project, without any requirement for further funding, and without subjection to future dilution, except in limited circumstances

Angus Mining currently has no ongoing activities or expenditures in Namibia. The Company is focused on exploration work underway at the Freiberg Project in Nevada, through its 68% interest in Silver Reef Resources.

Angus Mining CEO, Fraser Buchan comments; "returning operation of the Ondundu Project to Forsys Metals will allow Angus Mining to focus fully on the exploration program underway at Freiberg Silver project in Nevada. Forsys is better positioned corporately to execute on exploration and development plans in Namibia, and to create value at the Ondundu Project. Angus Mining will continue to participate in Ondundu through its free carried interest."

Closing of the transaction is expected to be held on February 22, 2012. It is subject to regulatory approval and satisfaction of all closing conditions.

About Angus Mining Inc.

Angus Mining is a Canadian based precious metals exploration company focused on developing various silver properties in Nevada through its ownership in Silver Reef. Angus Mining also has an interest in the Ondundu Gold Project in West‐Central Namibia via a joint venture agreement with Forsys Metals Corp. The Company's goal is to deliver superior shareholder returns by identifying, acquiring and developing high quality assets in a safe and socially responsible manner.

Forward-Looking Statements

This release contains certain "forward looking statements" and certain "forward-looking information" as defined under applicable Canadian and U.S. securities laws. Forward-looking statements can generally be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward-looking statements are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Certain of the statements made herein by the Company are forward-looking and subject to various risks and uncertainties, both known and unknown, many of which are beyond the ability of the Company to control or predict. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Forward-looking information is subject to known and unknown risks and uncertainties that may cause the Company's actual results, performance or achievements may be materially different from those expressed or implied by such forward-looking information, and are developed based on assumptions about such risks, uncertainties and other factors set out here in, including but not limited to the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drill results and other exploration data, the potential for delays in exploration or development activities, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with the Company's expectations, accidents, equipment breakdowns, title matters, labour disputes or other unanticipated difficulties with or interruptions in operations, fluctuating metal prices, unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, regulatory restrictions, including environmental regulatory restrictions and liability, competition, loss of key employees, risks inherent to conducting business activities in the developing world and other related risks and uncertainties. The Company undertakes no obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.

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