General Minerals Corporation
TSX : GNM

General Minerals Corporation

August 14, 2007 15:06 ET

General Minerals Corporation Files June 30, 2007 Quarterly Report

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 14, 2007) - General Minerals Corporation (the "Company" or "GMC")(TSX:GNM) reports that it has released its unaudited consolidated financial statements for the second quarter ended June 30, 2007 and that these consolidated financial statements and the related management's discussion and analysis of financial position and results of operations ("MD&A") are available for viewing on SEDAR at www.sedar.com.

GMC, which currently has 10.5 million common shares outstanding, continues to be in strong financial position with $8 million in working capital as at June 30, 2007. In addition, the Company owns 8.6 million shares of South American Silver Corp. ("SASC"), a company listed on the Toronto Stock Exchange. The SASC shares owned by GMC, which are subject to escrow and contractual resale restrictions, had a quoted value of $6.7 million as at June 30, 2007.

In July 2007, the Company entered into an agreement with a subsidiary of Sprott Asset Management Inc., which contemplates certain changes in the management team and board of directors of the Company coincident with the Company undertaking a proposed $60 million private placement. These transactions are subject to regulatory and shareholder approvals. A Special Meeting of the Shareholders has been scheduled for August 31, 2007 to consider these matters. It is intended that the proceeds of the private placement will be used to continue acquiring direct and indirect investments in the mining sector and to evaluate and acquire other opportunities within the natural resource sectors (see GMC PR 07-10, July 3, 2007).

The Company is also proceeding with plans to spin off its North American assets through an initial public offering of securities by the Company's subsidiary, High Desert Gold Corporation (see GMC PR 07-11, August 3, 2007).

Certain statements contained herein constitute "forward-looking statements". These forward-looking statements are based on current expectations. Additionally, "forward looking statements" look into the future and provide an opinion as to the effect of certain events and trends on the business. These forward-looking statements are based on current expectations and entail various risks and uncertainties. The Company assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.

SEC 12g3-2(b): 82-34810

Contact Information

  • General Minerals Corporation
    William Filtness
    Chief Financial Officer
    (604) 684-0693
    (604) 684-0642 (FAX)
    Website: www.generalminerals.com