Noram Ventures Signs Letter of Intent with Refmin China on the Jumbo Flake Graphite Property in the Slocan Mining Division of BC
Refmin is a manufacturer and distributor of vital raw materials including graphite to a diverse group of industries internationally
Vancouver, British Columbia – October 10, 2013 – Noram Ventures Inc. (TSX-V: NRM) (“Noram” or the “Company”) is pleased to report it has signed a Letter of Intent ("LOI") with Refmin China Co., Limited ("Refmin") to enter into a sub-option and joint venture agreement on the Jumbo flake graphite property (the "Property") located approximately 15 kilometres southwest of the town of Nakusp, British Columbia.
Noram currently holds an exclusive option to earn a 100% interest in the Property, and will grant to Refmin a sub-option (the "Earn-in Option") to earn up to a 50% interest in the Property. In order to exercise the Earn-in Option and acquire a 50% interest in the Property, Refmin will be required to: (1) contribute their knowledge and expertise in the manufacturing and marketing of graphite products; and (2) fund all costs with respect to the development of a mine for the Property (the "Development Costs"), subject to Noram providing to Refmin a National Instrument 43-101 compliant feasibility study on the Property.
Pursuant to the terms of the LOI, upon completion of the development of a mine for the Property, or at such time Refmin chooses to terminate funding of the Development Costs, Refmin will be deemed to have exercised the Earn-in Option and to have earned such right, title and interest in the Property in proportion to the Development Costs borne by it. Refmin and Noram (the “Parties”) shall then form a joint venture pursuant to the terms of a joint venture agreement to be entered into at such time. The LOI further provides that upon commencement of commercial production from the Property, all profits available for distribution shall first be distributed to the Parties in proportion to their investment in the exploration and development of the Property prior to formation of the joint venture. Once such investments have been reimbursed, all distributions shall be made to the Parties on the basis of their percentage of ownership in the Property.
The Parties have also agreed that if either is provided with the opportunity to develop any other North American graphite property, they shall give the other the opportunity to participate in such development.
Completion of the proposed transaction is subject to numerous conditions that include approval of the TSX Venture Exchange and negotiation of a definitive agreement by December 31, 2013 or such other date agreed to by the Parties.
About Refmin China Co., Limited:
Over the past 15 years Refmin has established itself as an international leader in the manufacturing, sourcing and distribution of vital raw materials including flake graphite. The development of a partnering philosophy with both customers and service providers has seen Refmin’s business interests spread to a range of industries that include: aluminum, steel, metallurgical, chemical, refractory, ceramics, construction, along with plastics and rubber. The international expansion of Refmin’s business has resulted in their products being sourced from and supplied to China, the USA, the European Union, Turkey, Russia, India, Mexico, Brazil, Argentina, South Africa, Chinese Taiwan, Australia/New Zealand along with other parts of Asia and the Middle East. Refmin has offices in China, Hong Kong, Australia and the USA.
About Noram Ventures Inc.:
Noram Ventures Inc. (TSX-V: NRM) is a Canadian based mineral exploration company with a project generator business model. The Company’s strategy is to identify and acquire early-stage properties and create value through the initial drilling and discovery phase. Noram’s current portfolio includes four properties in the central Kootenay region of southern British Columbia: the Amazing Grace gold property, the Jumbo flake-graphite property, the Kokanee flake-graphite property and the Silver Hill molybdenum-lead property.
ON BEHALF OF THE BOARD OF DIRECTORS
s/ “David W. Rees”
President & Director
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding exploration work on the properties and the completion of the proposed transaction with Refmin. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a downturn in general economic conditions in North America and internationally, (2) the inherent uncertainties and speculative nature associated with mineral exploration, (3) a decreased demand for minerals, (4) any number of events or causes which may delay or cease exploration and development of the Company’s property interests, (5) the risk that the Company does not execute its business plan, (6) inability to finance operations and growth, and (7) other factors beyond the Company’s control. These forward-looking statements are made as of the date of this news release and, except as required by law, the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements.
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