Owner
Post by Franko10 ™ on Oct 27, 2004 10:45:31 GMT -5
El Capitan Precious Metals Provides Updating Information Regarding Baosteel, AFC
10/27/2004 11:09:11 AM
PHOENIX, AZ, Oct. 27, 2004 (MARKET WIRE via COMTEX) -- El Capitan Precious Metals, Inc. (ECPN) announced today the continuation of negotiations regarding a proposed sale of iron ore to Baosteel America, Inc. ("Baosteel") a subsidiary of the Baosteel Group, based in Shanghai, China. As previously announced, a memorandum of understanding with Baosteel relating to the iron ore transaction has expired by its terms. Baosteel representatives are scheduled to arrive in the U.S. in November 2004 to conduct further on-site due diligence and continue negotiations for the purchase of iron ore.
In a related matter, El Capitan announced that it has entered into a definitive agreement with Asia Finance Corporation (AFC) whereby AFC has been retained to act as El Capitan's exclusive agent for transactions with potential purchasers based in Asia. The agreement replaces previously announced letters of intent with AFC. Among other services provided to El Capitan, AFC has been instrumental in initiating and coordinating negotiations with Baosteel. Under the new agreement, AFC has been issued 1.5 million unregistered shares of El Capitan's common stock and is entitled to receive a cash commission on completed iron ore transactions.
Completion of any transaction with Baosteel is subject to successful completion of negotiations between the parties. There can be no assurance that any transaction can be completed or as to the terms thereof. El Capitan does not intend to provide further updates regarding the negotiations until their conclusion.
El Capitan Precious Metals, Inc. is a development stage company that owns a 40% interest in the El Capitan mine located near Capitan, New Mexico as well as a joint venture and 20% ownership of 13 mining claims and other assets known as the C.O.D. Property located near Kingman, Arizona.
The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. This press release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, among others, the company's ability to successfully complete negotiations with Baosteel; fluctuations in world market prices for the company's products; competition from iron ore producers worldwide, which producers have greater resources and more established operations than those of the company; the company's ability to arrange transportation from the its mining properties to ocean ports on satisfactory terms; the company's ability to obtain or maintain regulatory approvals; the company's ability to obtain financing for the commencement of mining activities on satisfactory terms; and other risks and uncertainties described in the company's filings from time to time with the Securities and Exchange Commission. The company disclaims any obligation to update its forward-looking statements.
Chuck Mottley
President
(480) 948-0724
SOURCE: El Capitan Precious Metals
Copyright 2004 Market Wire, All rights reserved.
10/27/2004 11:09:11 AM
PHOENIX, AZ, Oct. 27, 2004 (MARKET WIRE via COMTEX) -- El Capitan Precious Metals, Inc. (ECPN) announced today the continuation of negotiations regarding a proposed sale of iron ore to Baosteel America, Inc. ("Baosteel") a subsidiary of the Baosteel Group, based in Shanghai, China. As previously announced, a memorandum of understanding with Baosteel relating to the iron ore transaction has expired by its terms. Baosteel representatives are scheduled to arrive in the U.S. in November 2004 to conduct further on-site due diligence and continue negotiations for the purchase of iron ore.
In a related matter, El Capitan announced that it has entered into a definitive agreement with Asia Finance Corporation (AFC) whereby AFC has been retained to act as El Capitan's exclusive agent for transactions with potential purchasers based in Asia. The agreement replaces previously announced letters of intent with AFC. Among other services provided to El Capitan, AFC has been instrumental in initiating and coordinating negotiations with Baosteel. Under the new agreement, AFC has been issued 1.5 million unregistered shares of El Capitan's common stock and is entitled to receive a cash commission on completed iron ore transactions.
Completion of any transaction with Baosteel is subject to successful completion of negotiations between the parties. There can be no assurance that any transaction can be completed or as to the terms thereof. El Capitan does not intend to provide further updates regarding the negotiations until their conclusion.
El Capitan Precious Metals, Inc. is a development stage company that owns a 40% interest in the El Capitan mine located near Capitan, New Mexico as well as a joint venture and 20% ownership of 13 mining claims and other assets known as the C.O.D. Property located near Kingman, Arizona.
The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. This press release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, among others, the company's ability to successfully complete negotiations with Baosteel; fluctuations in world market prices for the company's products; competition from iron ore producers worldwide, which producers have greater resources and more established operations than those of the company; the company's ability to arrange transportation from the its mining properties to ocean ports on satisfactory terms; the company's ability to obtain or maintain regulatory approvals; the company's ability to obtain financing for the commencement of mining activities on satisfactory terms; and other risks and uncertainties described in the company's filings from time to time with the Securities and Exchange Commission. The company disclaims any obligation to update its forward-looking statements.
Chuck Mottley
President
(480) 948-0724
SOURCE: El Capitan Precious Metals
Copyright 2004 Market Wire, All rights reserved.
