23 December 2009
TRADABLE
SHARES ON ISSUE - CLARIFICATION
Catalpa currently has 144.6M
tradable shares on issue. Approximately 50M shares of the 194.6M Catalpa shares
listed on the ASX are effectively treasury shares resulting from the merger
with Lion Selection Limited. These treasury shares are scheduled for cancellation
for zero consideration within 12 months of the merger and have nil voting
rights.
ENDS
For further
enquiries contact:
Bruce
McFadzean
Managing
Director
Catalpa
Resources Limited
Tel (08) 9321
3088
Warrick Hazeldine/Annette Ellis
Media and Investor Relations
Purple
Communications
Tel: (08) 6314 6300
ABOUT CATALPA
RESOURCES
Catalpa Resources Limited (ASX: CAH) has two exciting gold assets; a 30%
interest in the 100 000+ ounces per annum Cracow Gold Operations - a producing
gold mine in Queensland (70% Newcrest Mining Limited); and the 100 000+
ounces per annum Edna May Gold Operations in Western Australia (100%) - an
advanced gold project on schedule to commence production in June 2010.
The A$92 million Edna May Gold Project
is fully funded, and, as part of the finance facility, Catalpa has sold forward
352,316 ounces
of gold at A$1,557.50 per ounce. At an average gold price of A$1,400 per ounce
Catalpa will realize an average cash operating margin of A$72 million per annum
from the Edna May Gold Operations alone.
With a
combined Mineral Resource of more than 1.9 million ounces and a combined Ore
Reserve of more than a million ounces of gold, the Cracow
and Edna May Operations will provide a sustainable cash flow to fund Catalpa?s
growth strategy.
Catalpa is
confident that both the Cracow
and Edna May Gold Operations offer further Reserve and Resource growth
potential, with ongoing exploration programmes at both operations. In
parallel, the Company continues to proactively identify and assess other
production growth opportunities.
The Company has a committed and technically
accomplished management team and a highly-experienced and supportive Board,
committed to realising shareholder value from the Company?s growing asset
portfolio.
Catalpa has adopted best practice
standards across all its activities, including health and safety, environmental
management, corporate governance and social responsibility.
EDNA MAY OPERATIONS (100%)
Catalpa?s wholly-owned Edna May Gold Operations is
conveniently positioned just two kilometers from the infrastructure of
Westonia, on the eastern edge of WA?s Wheatbelt region. The mine is half
way between Perth
and Kalgoorlie and ideally
situated to be serviced by either of these major mining centres..
With its robust economics, geologically and
metallurgically well defined ore-body, high Ore Reserve confidence and excellent
recovery rate of more than 92%, Catalpa?s Edna May Gold Operations offers an
attractive, long-term platform to grow a mid tier gold producer.
Catalpa?s mine and processing schedule demonstrate
average gold production at Edna May in excess of 100,000 ounces of
gold recovered per annum for a life of mine of more than nine years, with
production planned to commence in June 2010.
CRACOW GOLD OPERATIONS (30%)
Catalpa owns 30% of the Cracow Gold Operations in Queensland
with Newcrest Mining Limited, and also has a pre-emptive right over Newcrest?s
70% stake in the asset. The Cracow Gold Project is well managed and
operated by Newcrest, allowing Catalpa to remain focused on constructing the
Edna May Gold Project on time and within budget.
The Cracow Gold Project has a history of steady gold
production of over 100,000
ounces per annum for the past four years and it is
considered to have considerable exploration upside.
***
Purple
Communications
Level 3, 28 Kings Park Road, WEST
PERTH
WA 6005
Ph: 08 6314 6300 Fax: 08 6314 6355
purple@purplecom.com.au