Sterling Group Ventures Inc.
FRANKFURT : GD7
OTC Bulletin Board : SGGV

Sterling Group Ventures Inc.

November 16, 2010 09:11 ET

Sterling Signs LOI to Develop Phosphate Deposit in China

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 16, 2010) - Sterling Group Ventures, Inc. (OTCBB:SGGV)(FRANKFURT:GD7) ("Sterling") is pleased to report that it has signed a letter of intent ("LOI") dated November 10, 2010 with Shimen Merchants Bureau to put into production the Shujiatai phosphate property located in Shimen County, Hunan Province, China (the "Property"). The Property, a sedimentary phosphate type deposit, hosts 36 million tonnes of ore with a grade of approximately 17.5% P2O5 based on a Chinese feasibility study report conducted by the Design and Research Institute of Hubei Jingxiang Phosphate Chemicals Industry Co. Ltd. The property has the necessary infrastructure and the ore body is near surface.

Under the terms of the LOI, Sterling will conduct due diligence on the Property within one and half years and update any Chinese study reports if necessary to build a mining, processing and chemical plant. After the due diligence is completed, Sterling will set up a joint venture for developing the deposit.

As a result of this transaction, Sterling will have access to approximately 94 million tonnes of phosphate ore of which 58 million tonnes of phosphate ore is from the acquisition of Hongyu Mining which was announced on October 21, 2010.

ON BEHALF OF THE BOARD OF DIRECTORS,

Richard Shao, PhD, President

Any forward-looking statement in this press release is made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that actual results may differ substantially from such forward-looking statements. Forward-looking statements involve risks and uncertainties including, but not limited to, economic and political factors, product prices and changes in international and local markets, as well as the inherent risks of the mining related business. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

Cautionary Note to U. S. Investors Concerning Estimates of Measure, Indicated, and Inferred Resources and Reserves. Statements regarding resources and reserves have been based on audits conducted under Chinese methods of calculation.

Contact Information

  • For further information, please check the Company's
    SEC 8-K filing or contact:
    Raoul Tsakok, Chairman or Robert Smiley, Director
    604-689-4407
    604-408-8515 (FAX)
    info@sterlinggroupventures.com