Nuinsco Resources Limited
TSX : NWI

Nuinsco Resources Limited

February 17, 2011 06:30 ET

Nuinsco Receives Egyptian State Council Approval of Bukari Concession Agreement

TORONTO, ONTARIO--(Marketwire - Feb. 17, 2011) - Nuinsco Resources Limited ("Nuinsco" or "the Company") (TSX:NWI) (www.nuinsco.ca) today announced that the Egyptian State Council has reviewed and approved the Concession Agreement (the "Agreement") covering the Bukari Concession Area, Eastern Desert, Egypt.

Approval by the State Council signifies that the Agreement is in compliance with Egyptian law and with Egypt's regulatory framework. The Agreement will now be forwarded to the People's Assembly (Egyptian Parliament) for passage into law, which will provide for tax-free status in Egypt and allow Nuinsco to proceed with its full exploration program. Given recent events in Egypt, State Council approval of the Agreement demonstrates that Egypt's civil service is functioning and indicates that Egypt is open for business and remains committed to developing a modern mining sector and attracting foreign investment in general.

"Passage by the State Council is a significant milestone in the approval process and a concrete indication of the Country's commitment to moving forward with building a mining industry," said Nuinsco's President Paul Jones. "We have developed a good working relationship with the agencies governing Egypt's mining sector and are very pleased with the progress we've made thus far. In anticipation of the Bukari concession agreement's passage into law, a third program of field work was completed in late January to prepare for a systematic and comprehensive exploration program that will begin as soon as possible. We have yet to receive an indication as to when the Agreement will be presented to the People's Assembly for final approval."

The purpose of the third program of field work was to expand the base of knowledge on the concession areas (see map attached). Specifically, the Bukari 1 gold occurrence was revisited and a second occurrence at Talat Gadella was mapped and sampled. A number of the 13 named, but essentially unexplored, gold occurrences on the Bukari Concession Area have also been visited for initial evaluation. Several of these occurrences are sites of past gold production in Pharaonic, Roman and possibly Byzantine times. 

Nuinsco previously announced an expansion to 2.5 kilometres of the known strike length of the Bukari 1 gold-bearing vein system and the identification of a previously unknown gold vein system which is interpreted to have a potential strike length of up to 5 kilometres based on satellite imagery (see press release dated December 13, 2010). 

Bukari (1,480 km2) and Umm Samra (790 km2) are located about 50 kilometres northwest of Centamin Egypt Limited's flagship multi-million ounce Sukari Gold Mine which is being expanded to increase production to about 500,000 oz per year over the next three years. The concessions are easily accessible by paved highway.

All exploration work is supervised by Paul Jones, President, who acts as QP under National Instrument 43-101 and has reviewed and approved the contents of this news release.

About Nuinsco Resources Limited

Nuinsco is a growth-oriented, multi-commodity mineral exploration and development company that is focused on gold, uranium, rare metals, copper and zinc exploration in world-class mineralized belts in Canada, Turkey and Egypt. In addition to its property holdings, Nuinsco owns common shares in Coventry Resources Limited (ASX:CVY) and Victory Nickel Inc. (TSX:NI). Shares of Nuinsco trade on the Toronto Stock Exchange under the symbol NWI.

Please visit the Company's website at www.nuinsco.ca. Should you wish to receive Company news via email, please email nadine@chfir.com and specify "Nuinsco Resources" in the subject line.

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements." All statements, other than statements of historic fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek," "anticipate," "believe," "plan," "estimate," "expect," and "intend" and statements that an event or result "may," "will," "can," "should," "could," or "might" occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from government authorities, and other development and operating risks. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

To view a map of "Bukari and Umm Samra Concession Areas, Eastern Desert, Egypt," please visit the following link: http://media3.marketwire.com/docs/bukari217.pdf

Contact Information

  • Nuinsco Resources Limited
    Rene Galipeau or Sean Stokes
    416.626.0470
    416.626.0890 (FAX)
    admin@nuinsco.ca
    or
    CHF Investor Relations
    Cathy Hume
    416.868.1079
    416.868.6198 (FAX)
    cathy@chfir.com