Conway Resources Inc.

Conway Resources Inc.

June 23, 2009 10:34 ET

Conway Resources Inc.: Update on Belleterre Mine Property Acquisition

QUEBEC CITY, QUEBEC--(Marketwire - June 23, 2009) - Laurent Beaudoin, President and Chief Executive Officer of Conway Resources Inc. (TSX VENTURE:CWY), announced today that Conway is pursuing its efforts to realize the financing required to acquire all the outstanding shares of Ressources Mine Belleterre inc., which owns a 100% interest in the Belleterre Mine property. The parties have agreed to postpone the closing date of the transaction until September 30, 2009.

The Belleterre Mine property is located in northwestern Quebec 175 km south of the Noranda mining district and covers 404.71 hectares including the Belleterre Gold Mine which produced 2.18 million metric tons of ore at an average grade of 10.73 g/t Au for a total of over 800,000 ounces of gold from 1936 to 1959. Ore extracted from the Belleterre Mine consists of visible gold in quartz veins. Historical recoveries at the Belleterre Mill were 96 %. Conway is currently working to outline the remaining gold resources at the Belleterre Mine.

Under the terms of the agreement announced on October 22, 2008 for the purchase of the Belleterre Mine property, Conway must issue 8,476,450 common shares at a deemed price of $0.05 per share, each accompanied by half a warrant to purchase one common share at $0.15 for a two-year period after closing, for a total of 4,238,225 warrants. Conway must also pay $100,000 upon closing and incur $500,000 in exploration expenses on the Belleterre Mine property before the first anniversary of the agreement. Finally, Conway must pay an additional amount of $400,000 and incur a total of $1,000,000 in additional exploration expenses over a three-year period. Subject to regulatory approval, Conway may choose to make half the stipulated cash payments in common shares of its share capital, at a share price equal to the average trading price of its shares on the TSX Venture Exchange for the 20 business days preceding the payment date.

The TSX Venture Exchange assumes no responsibility for the adequacy or accuracy of this press release.

Contact Information