| ||May 01, 2008|
Volta Resources & Freeport-McMoRan Exploration Corporation Amend Gaoua Earn-In Agreement
| ||May 01, 2008 - Volta Resources Inc. ("Volta" or the "Company) (TSX:VTR) is pleased to announce that the Company and Freeport-McMoRan Exploration Corporation ("FMEC") have agreed to amend their Earn-In Agreement with respect to the Gaoua copper-gold project located in southern Burkina Faso. FMEC, Volta (formerly Goldcrest Resources Ltd. ["Goldcrest"]) and its Burkinabe subsidiary, Wentworth Resources Pty. Ltd. first entered into the earn-in agreement on November 19, 2006 (see Goldcrest news release dated November 21, 2006).|
Under the original agreement, FMEC has funded exploration expenditures totaling approximately two million six hundred thousand US dollars (US$2,600,000) which has led to extensions and further definition of mineral deposits whose limits have yet to be defined. The parties have agreed to excise from the operation of the earn-in agreement the mineral rights comprising these deposits, with mutually agreed boundaries (the "Excluded Property") (See Figure 1), and to deal with the Excluded Property separately from the remainder of the property (the "Residual Property").
Volta will have exclusive possession and control of the Excluded Property and shall conduct exploration on it at its own expense. If and when Volta makes expenditures totaling two million six hundred thousand US dollars (US$2,600,000) on or for the benefit of the Excluded Property within two years, the Excluded Property shall be excluded from the original property from and after the date such expenditures have been made (the "Relinquishment").
If Volta does not make expenditures totalling two million six hundred thousand US dollars (US$2,600,000) on or for the benefit of the Excluded Property within two years, then the Excluded Property will again become part of the whole property. At any time during the two years Volta exclusively explores on the Excluded Property, FMEC may notify Volta that they intend to exercise a back-in right to the Excluded Property. To exercise the back-in right FMEC must reimburse Volta the cash equivalent of all expenditures incurred by Volta on the Excluded Property (up to US$2,600,000), after which FMEC and Volta shall form a joint venture agreement.
"This amendment allows us to more aggressively advance this exciting copper-gold discovery while still having the benefit of FMEC as an exploration partner on the remainder of this large and prospective Gaoua property." commented Volta's President and CEO, Kevin Bullock. He went on to say "Our goal is to have an initial NI 43-101 resource calculation on the Gaoua deposits completed following the next aggressive diamond drilling campaign."
Previous highlights from diamond drilling on the copper-gold deposit area include (Hole # S19GON) 106 metres ("m") @ 0.66% copper ("Cu") & 0.49g/t gold ("Au"), (Hole # S29GON) 131 m @ 0.38% Cu & 0.80g/t Au and (Hole # S30GON) 99m @ 0.42% Cu & 0.85 g/t Au at Gongondy as well as (Hole # S67DIE) 173 m @ 0.42% Cu & 0.16g/t Au, (Hole# 64DIE) 122m @ 0.56% Cu & 0.26g/t Au and (Hole # 65DIE, drilled down dip) 224m @ 0.52% Cu & 0.19g/t Au at Dienemera.
Under the guidelines of National Instrument 43-101, the qualified person for the Gaoua project is Mr. Guy Franceschi, Vice President, Exploration for Volta. Mr. Franceschi is a member of the European Federation of Geologists and has reviewed and approved the contents of this news release.
Forward Looking Information Caution:
This press release presents "forward-looking statements" within the meaning of Canadian securities legislation that involve inherent risks and uncertainties. Forward-looking statements include, but are not limited to, statements with respect to the future price of gold and other minerals and metals, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the capital expenditures, costs and timing of the resources, the realization of mineral reserve estimates, the capital expenditures, costs and timing of the development of new deposits, success of exploration activities, permitting time lines, currency exchange rate fluctuations, requirements for additional capital, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. Generally, these forward-looking statements can be identified by the use of forward looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Volta to be materially different from those expressed or implied by such forward looking statements, including but not limited to: risks related to international operations, risks related to the integration of acquisitions; risks related to joint venture operations; actual results of current exploration activities; actual results of current or future reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of gold and other minerals and metals; possible variations in ore reserves, grade or recovery rates; failure of equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; and delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Although the management and officers of Volta believe that the expectations reflected in such forward-looking statements are based upon reasonable assumptions and have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. 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. Volta Resources does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws.
For further information, please refer to our website www.Voltaresources.com or contact:
Kevin Bullock, P.Eng., President & CEO
Tel: (647) 388-1842
Fax: (416) 867-2298
Investor Relations: Vancouver
Tel: (604) 731-7340
Investor Relations: Toronto
Tel: (905) 337-7673
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this news release.
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