Venga Aerospace Systems Inc.
TSX VENTURE : VAV
PINK SHEETS : VNGAF

Venga Aerospace Systems Inc.

August 16, 2011 13:52 ET

Venga: Tawana Resources Successfully Completes Due Diligence and Will Be Proceeding With Acquisition of Exclusive Development Rights to GMI's Liberian Concessions

TORONTO, ONTARIO--(Marketwire - Aug. 16, 2011) - Venga Aerospace Systems Inc. (TSX VENTURE:VAV)(PINK SHEETS:VNGAF)(the "Company") announced that Tawana Resources NL (ASX:TAW)("Tawana") has advised Venga's mining affiliate, Global Mineral Investments, LLC ("GMI"), that Tawana has successfully completed its due diligence and that Tawana will be proceeding with its planned acquisition of the exclusive exploration and development rights to GMI's gold concessions (the "Sinoe Project") in Sinoe County, Liberia. Tawana has also secured an option to purchase outright the mineral exploration licence over the Sinoe Project held by GMI.

In an August 16, 2011, press release, Tawana provided the following information and comments on its agreement with GMI to acquire what Tawana described as a "highly prospective land package" in Sinoe County, Liberia:

  • that GMI's mineral exploration licence covers an area of Birimian aged rocks along arguably the most prospective gold mineralized structure being explored in Liberia today - the Dugbe Shear;

  • that the Sinoe Project is 25 km along strike from Hummingbird's (AIM:HBR) 0.8Moz Dugbe Project and 40 km along strike from NT Resources (ASX:NTR) Bukon Jedeh Project. Both of these projects are hosted along secondary and tertiary order structures adjacent to the main Dugbe Shear. Similar structural targets have been defined in the government regional aeromagnetics data over the Sinoe Project area;

  • that the Sinoe Project area is characterized by numerous artisanal gold workings observed in the field during recent site due diligence activities and the area is characterized by numerous quartzite, graphite and manganese occurrences on the USGS geological map of Liberia all of which favorably indicate gold prospectivity;

  • that an aggressive field sampling and mapping program has been commenced in the Sinoe Project, with field teams currently on site conducting soil sampling traverses over high priority target areas. Blanket, wide spaced soil traverses within GMI's licensed area and closer spaced soil traverses over high priority targets including hard-rock artisanal workings are being planned.

  • that it is expected that initial soil sampling data will delineate high priority targets for drilling in the first quarter of 2012.

  • that a community's consultation program has now been successfully completed to ensure a social license to operate;

  • that Tawana has secured the services of the GMI's site manager to build access tracks, additional camp facilities and maintain logistical supplies to facilitate exploration activities; and

  • that Tawana will fully fund exploration operations at the Sinoe Project during the first year of the development agreement and then have the option to purchase GMI's licence outright through the payment to GMI of a combination of Tawana common shares and cash.

"We are obviously quite excited about Tawana's decision to actively participate in the development of GMI's planned gold mining operations," stated Venga's P resident, Hirsh Kwinter. "The news that Tawana has now successfully completed their due diligence and is proceeding with their acquisition of the exploration and development rights to GMI's gold concessions provides an independent positive assessment of the potential value of our interest in the GMI concessions and brings us one large step closer to having a fully working, land based gold mining operation," continued Kwinter.

"This is excellent news about a deal that has the potential to be hugely beneficial to all parties involved in the development of GMI's gold operations," stated GMI's President, Jon O'Regan. "On one hand, we will have the resources and expertise that Tawana can bring to the long term development of the our land based gold projects while on the other, GMI will directly participate in the operational development of these projects while retaining choice and identified mining sites and the exclusive rights to dredge throughout the Sinoe Project," continued O'Regan. "This is a good day for all of us," stated O'Regan.

About GMI - Global Mineral Investments LLC is a U.S. based private corporation that has acquired and is developing gold concessions in Sinoe County, Liberia.

About Venga - Venga Aerospace System Inc. is a Canadian public company that is currently listed on the TSX Venture Exchange. Venga operates or has an investment in three business units: aerospace; 3D graphics and gold mining in West Africa. Venga has a 20% equity interest in GMI.

About Tawana - Tawana Resources NL (www.tawana.com.au) is a public company listed on the Australian Exchange with its registered office located in Perth, Australia. Initially, the company explored for diamonds in South Africa, Botswana and Australia. With the introduction of new board members and new management, Tawana reinvented itself into a West African focused gold explorer.

In April 2010, Tawana announced the appointment of Warwick Grigor as non-executive Director and Chairman. Mr Grigor is the Executive Chairman and Head of Research at BGF Equities Pty Ltd. In June 2010 the company announced the appointment of Lennard Kolff van Oosterwijk (Len Kolff) as CEO. Mr. Kolff joined Tawana having worked over the past decade at Rio Tinto, where he was involved in a range of high profile projects including the Simandou iron ore project in West Africa and the Northparkes Cu-Au mine in NSW, Australia.

In December of 2010, Tawana announced a strategic alliance with Gryphon Minerals Ltd (ASX:GRY) and in February, 2011, the acquisition of two highly prospective mineral exploration licences in Liberia, West Africa. Under the terms of this alliance, Gryphon will assist Tawana with the identification, acquisition and exploration of mineral permits in West Africa which are outside Gryphon's core growth strategy. Gryphon will also assist Tawana establish itself in West Africa and provide high level technical, operational and logistical support. Gryphon is Tawana's major shareholder.

As part of its legacy assets, Tawana holds a 6.76% indirect equity interest in the Avontuur Manganese (108.9Mt at 38.6% Mn) and Meletse Iron Ore (47.6Mt at 62.9% Fe) Projects through its 26% equity stake in Rakana Consolidated Mining Pty Ltd., the joint venture partner of Aquila Resources Ltd. in the Thabazimbi Joint Venture, South Africa. In March of 2011, Tawana raised $4.5 million via share placement of 100 million shares at 4.5 cents with BGF Equities Pty Ltd. acting as the lead manager.

Tawana is actively exploring for gold and base metals in Liberia and continues to review additional opportunities in Liberia and West Africa as part of its ongoing growth strategy.

This press release contains forward -looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain risks and uncertainties that may cause the Company's results to differ materially from expectations and speak only as of the date hereof.

SHARES ISSUED: 239,171,893

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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