St Elias Mines Ltd -

St Elias Mines Ltd
SLIShares issued 2,826,001
1998-01-16 close $0.29

Monday Jan 19 1998The VSE has accepted for filing an agreement dated August 19 1997, and amended November 18 1997, and December 1 1997, whereby the company can acquire from the vendor, Madman Mining Co Ltd (Lloyd C. Brewer), a 100% interest in the Mt Victor exploration licence 1190, in the Eastern Highlands of Papua New Guinea. Consideration consists of:

a)Payment of $10,000 upon signing of the August 19 1997 letter agreement (paid);

b)Payment of $15,000 on or before the first anniversary of the date of signing of a formal agreement;

c)Payment of $25,000 on or before the second anniversary of the date of signing of a formal agreement;

d)Payment of $25,000 on or before the second anniversary of the date of signing of a formal agreement;

e)Issue to the vendor 50,000 shares within five business days of acceptance of the agreement for filing by the VSE;

f)Issue to the vendor 50,000 shares upon completion of a phase I exploration program and receipt and acceptance by the VSE, of a technical report recommending further work on the property;

g)Issue to the vendor 50,000 shares upon completion of a phase II exploration program and receipt and acceptance by the VSE, of a technical report recommending further work on the property;

h)Issue to the vendor 50,000 shares upon completion of a phase III exploration program and receipt and acceptance by the VSE, of a technical report recommending further work on the property;

i)Providing $100,000 for expenditure on exploration of the property on or before the 12-month anniversary of the signing of the August 19 1997 letter agreement;

j)Providing $150,000 for expenditure on exploration of the property on or before the 24-month anniversary of the signing of the August 19 1997 letter agreement; and

k)Providing $250,000 for expenditure on exploration of the property on or before the 36-month anniversary of the signing of the August 19 1997 letter agreement. The vendor retains a 5% nsr royalty on the property. St Elias holds an option to purchase 25% of the nsr for $1,000,000 and a second 25% of the nsr for 100,000 shares, both purchases are subject to VSE approval at the time of exercise of the option. (c) Copyright 1998 Canjex Publishing Ltd. canada-stockwatch.com