Redcorp Ventures Ltd.
TSX : RDV

Redcorp Ventures Ltd.

September 18, 2007 09:01 ET

Redcorp Ventures Ltd.: Option To Purchase Agreement Concluded For Long Lead-Time Power Generation Equipment for the Tulsequah Chief Mine Development Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 18, 2007) - REDCORP VENTURES LTD. (TSX:RDV) and Redfern Resources Ltd. ("Redfern"), its wholly-owned subsidiary, (together the "Company"), are pleased to announce that Redfern has entered into an Option to Purchase Agreement (the "Agreement") with Carmacks Commercial Corp. of Moses Lake, WA, USA. The Agreement outlines the terms to purchase eight generator sets and associated ancillary equipment required to supply the Company's Tulsequah Chief Mine with power.

Under the terms of the Agreement Carmacks agrees to sell to Redfern eight 1.6 MW generator sets and various ancillary equipment inclusive of shipment and delivery to the port of Juneau, Alaska. A deposit of US $2.1 million was paid upon signing of the Agreement. The equipment is part of a standby power generating installation that is no longer required and as a result the equipment is in substantially "as new" condition. The vendor has agreed to store the units until such time as they are needed and the purchase is finalized in the first quarter of 2008. Redfern is currently discussing terms with prospective leasing finance groups to complete the purchase as a capital lease, as contemplated in the project Feasibility Study.

"We were delighted to secure the opportunity to acquire these units in such good condition," said Richard Goodwin, VP Mining for the Company. "This purchase will reduce the capital requirement of the project, but more importantly will help us to preserve our schedule by avoiding a manufacturing delay for one of the key items of the project. This purchase also gives us the opportunity to use the gensets during construction, saving us the cost of rental units."

Redfern has nearly completed the first phase of road construction consisting of a four kilometre section of road from the barge landing site to the Big Bull Mine, a secondary deposit with defined mineral resources under active exploration. The company is anticipating receipt of additional permits covering the next phase of interim road construction, northward to the Tulsequah Chief Mine site. Further equipment has been marshalled to the Taku River by barge and is scheduled for delivery to site over the next several weeks.

Redcorp Ventures Ltd. is a Vancouver-based mineral exploration and development company with active projects in British Columbia and Portugal. Further information on Redcorp and its projects can be obtained on Redcorp's website at www.redcorp-ventures.com. Investors may call toll-free to Troy Winsor, Manager of Investor Relations, at 1-888-225-9662. Media should contact Salina Landstad, Manager of Public Relations and Corporate Communications at (604) 639-0135.

ON BEHALF OF THE BOARD OF DIRECTORS OF REDCORP VENTURES LTD.

Terence Chandler, President

Certain of the statements made and information contained herein is "forward- looking information" within the meaning of the Securities Act (Ontario) and the Securities Act (Alberta). Forward-looking information includes disclosure regarding possible or anticipated events, conditions or results of operations that is based on assumptions about future economic conditions and courses of action and includes future oriented financial information with respect to prospective results of operations or financial position that is presented either as a forecast or a projection. Forward looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend"; statements that an event or result is "due" on or "may", "will", "should", "could", or might" occur or be achieved; and, other similar expressions.

More specifically, forward looking information contained herein includes, without limitation, statements concerning the Company's plans at its Tulsequah Project (inclusive of the Big Bull Project), the net present value of the Tulsequah Project, the timing and amount of estimated future production and mine life, expected future prices of gold, silver, copper, lead and zinc, metallurgical response and net smelter return valuations, mineral reserve and mineral resource estimates, estimated capital and operating costs of the project, estimated capital pay back period, timing of development and permitting time lines; all of which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information.

Forward-looking information contained herein is based on material factors and assumptions and is subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from a conclusion, forecast or projection in the forward-looking information. These include, without limitation, material factors and assumptions relating to, and risks and uncertainties associated with, the availability of financing for activities when required and on acceptable terms, the accuracy of the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the consistency of future exploration, development or mining results with the Company's expectations, metal price fluctuations, the achievement and maintenance of planned production rates, the accuracy of component costs of capital and operating cost estimates, current and future environmental and regulatory requirements, favourable governmental relations, the availability of permits and the timeliness of the permitting process, the availability of shipping services, the availability of specialized vehicles and similar equipment, costs of remediation and mitigation, maintenance of title to the Company's mineral properties, industrial accidents, equipment breakdowns, contractor's costs, remote site transportation costs, materials costs for remediation, labour disputes, the potential for delays in exploration or development activities, timely completion of future NP 43-101 compliant reports, timely completion of future feasibility studies, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, continuing global demand for base metals, expectations and beliefs of management and other risks and uncertainties, including those described under Risk Factors Relating to the Company's Business in the Company's Annual Information Form, dated March 28, 2006, and in each subsequent Management's Discussion and Analysis.
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the forward-looking information. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.

News Release 07 - 36

Contact Information

  • Redcorp Ventures Ltd.
    Troy Winsor
    Manager of Investor Relations
    1-888-225-9662
    or
    Redcorp Ventures Ltd.
    Salina Landstad
    Manager of Public Relations and Corporate Communications
    (604) 639-0135
    Website: www.redcorp-ventures.com