Pan American Silver to complete Morococha silver mine acquisition in August
July 23 2004 - 11:56AM
PR Newswire (US)
Pan American Silver to complete Morococha silver mine acquisition
in August (all amounts in $US unless otherwise stated) VANCOUVER,
July 23 /PRNewswire-FirstCall/ -- Pan American Silver Corp. (PAAS:
NASDAQ; PAA: TSX) is pleased to announce it has launched its $36.7
million cash offer, through the Peru Stock Exchange, to purchase
the voting shares of Compania Minera Argentum S.A. ("Argentum"),
which owns the Morococha silver mine, as announced in February. Pan
American has a lock-up agreement to acquire 92% of Argentum's
voting shares. The public offering must remain open for 20 business
days, after which the purchase of Morococha will be completed. In
addition, Pan American has acquired 100% of Compania Minera
Natividad ("Natividad") for $1.5 million, which holds numerous
adjacent mineral concessions. Pan American intends to combine
Natividad with Argentum upon completion of the public offering,
which, assuming 100% of the common shares of Argentum are tendered
to Pan American, will give the Company an 88% interest in the
Morococha silver mine. According to Pan American's President and
CEO, Geoff Burns, "Morococha is an excellent addition to our
Peruvian assets and will provide immediate silver production,
positive cash flow and profits for the Company. Coupled with the
mine's outstanding exploration potential, we see Morococha as a
cornerstone of Pan American's operations for many years to come."
For Further Information Contact: Brenda Radies, VP Corporate
Relations (604) 684-1175 http://www.panamericansilver.com/
CAUTIONARY NOTE Some of the statements in this news release are
forward-looking statements and as such are based on an assumed set
of economic conditions and courses of action. These include
estimates of future production levels, expectations regarding mine
production costs, expected trends in mineral prices and statements
that describe Pan American's future plans, objectives or goals.
There is a significant risk that actual results will vary, perhaps
materially, from results projected depending on such factors as
changes in general economic conditions and financial markets,
changes in prices for silver and other metals, technological and
operational hazards in Pan American's mining and mine development
activities, uncertainties inherent in the calculation of mineral
reserves, mineral resources and metal recoveries, the timing and
availability of financing, governmental and other approvals,
political unrest or instability in countries where Pan American is
active, labor relations and other risk factors listed from time to
time in Pan American's Form 40-F. DATASOURCE: Pan American Silver
Corp. CONTACT: Brenda Radies, VP Corporate Relations, (604)
684-1175, http://www.panamericansilver.com/
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