Coronation Minerals Inc.

June 07, 2006 18:25 ET

Coronation Minerals Inc.: Press Release

TORONTO, ONTARIO--(CCNMatthews - June 7, 2006) - Coronation Minerals Inc. (TSX VENTURE:CMV) (the "Company") announces that it has completed the settlement of an aggregate of $347,865 of debt previous held by Guyana Goldfields Inc. ("GGI") a creditor of the Company, which settlement was previously announced on April 17, 2006. In settlement of this debt the Company issued a total of 1,656,500 common shares in the capital of Company (the "Common Shares") to GGI at a deemed price of $0.21 per Common Share in full satisfaction of the amount owing. Following issuance of the 1,656,500 Common Shares, GGI now holds approximately 10,273,500 Common Chares in the capital of the Company representing approximately a 19% interest in the Company. The Common Shares issued in settlement of the debt are subject to a four month resale restriction.

Coronation Minerals Inc. is a Canadian based exploration and development company. The Company presently controls and holds both the Wellgreen Property, Yukon Territory and the Coppermine River Project, Nunavut Territory. Both of these projects are described as Copper-Nickel-Platinum-Palladium prospects.

The Wellgreen Property is located 317 kilometers north-west of Whitehorse, just 10 kilometers off the Alaska highway. Significant surface and underground work has been carried out on the property between the initial discovery in 1952 and limited mining in 1972 and 1973 by Hudson Bay Mining Company Limited. Three zones of Copper-Nickel-Platinum-Palladium-Cobalt-Gold-Silver have been outlined on the property. Probable and possible reserves are calculated to be 50.03 million tonnes grading 0.35% copper, 0.36% nickel, 0.54grams/tonne platinum and 0.34 grams/tonne palladium (Preliminary Feasibility Study, Watts, Griffis and McQuat Limited, April 21, 1989.) Caution should be used when evaluating these reserves as they were calculated prior to NI 43-101 existing.

The Company has also entered into a drilling contract for up to 10,000 meters of HQ core on its Yukon, Wellgreen Property. The Company will focus on drilling and bringing historical reserves up to National Instrument 43-101 ("NI 43-101") standards as well as testing newly defined exploration targets.

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

Contact Information

  • Coronation Minerals Inc.
    141 Adelaide Street West
    Suite 301 Toronto, Ontario M5H 3L5
    Attention: Peter W. Holmes, C.E.O.
    (520) 240-5306