Conway Resources Makes an Offer to Purchase the Belleterre Mine Property

Conway Resources Inc. (TSX VENTURE:CWY) is pleased to announce the signature of a letter of intent by arm's length parties setting the general terms for the purchase of all the issued and outstanding shares of private company Ressources mine Belleterre inc., which owns two mining concessions covering 404.71 hectares in Guillet Township, Quebec, known as the Belleterre mine property.

As consideration, Conway will issue 8,476,450 common shares at a deemed price of $0.05 per share, plus half a warrant per share for a total of 4,238,225 warrants, each whole warrant entitling its holder to purchase one common share at $0.15 per share for a period of two years following the closing of the transactions. Conway will also pay $100,000 on closing and carry out $500,000 in exploration on the Belleterre mine property before the first anniversary date of the agreement. Finally, Conway will pay an additional amount of $400,000 and carry out an additional $1,000,000 in exploration on the property over a three-year period. Subject to the approval of regulatory authorities, Conway has the option to pay half of the cash payments in common shares of its capital stock, at a price per share corresponding to the average price of its shares on the TSX Venture Exchange for the 20 trading days preceding such payment.

Discovered in 1930 by McIntyre Porcupine Mines, the Belleterre mine was in production from 1936 to 1959. During this period, the mine produced 2.18 million metric tons of ore at an average grade of 10.73 g/t Au and 1.37 g/t Ag. Approximately 95% of the ore was mined from Vein 12. Previous reports indicate the existance of at least 21 veins on the property. According to an internal report from 1960, the property hosts a resource of 172,410 metric tons grading an average of 6.42 g/t Au in Vein 14 and 317,600 metric tons at 3.43 g/t Au in Vein 12W. A qualified person has not done sufficient work to classify the historical estimate as current mineral resources, Conway is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon.

The completion of the transactions provided for in the letter of intent is subject to due diligence by Conway, signature of a final agreement and approval of the regulatory authorities, including the TSX Venture Exchange.

Qualified Persons

The geological information is taken from the NI 43-101 technical report for the Belleterre mine property authored by Alain-Jean Beauregard and Daniel Gaudreault, Ing., of Geologica Groupe-Conseil Inc. of Val-d'Or. Alain-Jean Beauregard, a geologist at Geologica Groupe-Conseil Inc., has also reviewed the contents of this press release.

About Conway Resources

Conway Resources (TSX VENTURE:CWY) specializes in the acquisition, exploration and development of mining properties. The Company is primarily focused on precious metals, and presently owns four properties in Quebec, Canada, in the vicinity of the Belleterre mine (total production of 2.18 Mt at 10.73 g/t Au for over 800,000 ounces of gold from 1936 to 1959) and the old Lorraine Cu-Ni mine.

Forward-Looking Statements

This press release contains forward-looking statements that reflect management's expectation regarding the Company's future growth, results, performance and business opportunities. These statements reflect the Company's perspective and are based on current information available to management. Forward-looking statements are subject to risks and uncertainties. Many factors may cause actual results to differ considerably from the results anticipated by such forward-looking statements. While the forward-looking statements in this press release are based on assumptions considered reasonable by management, the Company cannot assure readers that actual results will comply with such statements. These forward-looking statements are made as of the date hereof, and the Company is under no obligation to update or revise them to take into account new events or circumstances.

SOURCE: Conway Resources Inc.

Conway Ressources Inc.
Laurent Beaudoin
President and Chief Executive Officer
418-871-3334
conway@ressources-conway.com

Related terms: business, canada, exploration, gold, mining, precious metals, property, quebec