St. Jude Resources Ltd.
TSX VENTURE : SJD

St. Jude Resources Ltd.

August 23, 2005 19:31 ET

St. Jude Acquires Crew Gold Interest in Hwini Butre for $5 million USD

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 23, 2005) - St. Jude Resources Ltd. (TSX VENTURE:SJD) is pleased to announce that it has served notice to Crew Gold Corporation, indicating its desire to increase its interest in Hwini Butre to 65%, pursuant to the call option stipulated in the original agreement between the parties dated February 1995. As a result of a new agreement, Crew has offered and St. Jude has agreed to acquire Crew's remaining 25% interest in the concession effective immediately. The total consideration to be paid for these transactions is USD $5 Million which shall be paid in equivalent number of St. Jude shares. As a result St. Jude will issue 2,995,000 common shares to Crew. These shares will be subject to a four month statutory hold period, after which time one third of these shares will be subject to a hold period spanning an additional 12 months.

As a consequence of the above transaction St. Jude will now hold an 80% interest in the Hwini Butre project. The original Ghanaian vendor holds a 10% interest and the Government of Ghana holds their standard 10% carried interest. St. Jude is in the process of completing a feasibility study on both the Hwini Butre and adjoining Benso concession where the company now controls a N.I. 43-101 compliant, measured and indicated resource of 1,316,000 ounces.

ST. JUDE RESOURCES LTD.

MICHAEL A. TERRELL, President


No Stock Exchange has reviewed or accepts the responsibility for the adequacy or accuracy of this release.

Contact Information

  • St. Jude Resources Ltd.
    Todd McMurray
    Vice President, Corporate Development
    (604) 940-6565 or Toll Free: 1-866-281-2193
    (604) 940-6566 (FAX)
    www.stjudegold.com