Argentina Gold: Barrick's Hostile Takeover Bid Unsuccessful; Aggressive Drilling Campaign at Veladero Continues; Auction Process Continues.VANCOUVER, British Columbia--(BUSINESS WIRE)--Feb. 9, 1999-- Argentina Gold Corp. (VSE See DOS/VSE. VSE - Virtual Storage Extended :ARP) is pleased to announce that Barrick Gold Barrick Gold Corporation TSX: ABX NYSE: ABX is the largest pure gold mining company in the world, with its headquarters in Toronto, Ontario, Canada; and four regional business units (RBU's) located in Australia, Africa, North America and South America. Corporation's hostile takeover Hostile Takeover A takeover attempt that is strongly resisted by the target firm. Notes: Hostile takeovers are usually bad news, as the employee moral of the target firm can quickly turn to animosity against the acquiring firm. bid was successfully defeated and has expired. The Company's Veladero project is part of a regional gold/silver district that straddles the Argentine/Chile border. The Company controls much of the district on the Argentine Argentine having some relationship with the country Argentina. Argentine tick margaropuswinthemi. Argentine tortoise geochelonechilensis. side. To date, the Company has defined in excess of 5 million ounces of gold and 150 million ounces of silver. Central to this resource is the very rich, high-grade oxide deposit at the Amable target. The Veladero project is of enormous financial and strategic value to the Company and the region. The potential of the Veladero project is very significant and may prove to be one of the most important and economic gold/silver resources in the region. Barrick Gold Corporation announced today that its neighboring neigh·bor n. 1. One who lives near or next to another. 2. A person, place, or thing adjacent to or located near another. 3. A fellow human. 4. Used as a form of familiar address. v. Pascua deposit hosts a resource of 20 million ounces of gold which they expect to have in production in 2002 at an annual rate of 675,000 ounces of gold and 20 million ounces of silver with initial cash costs of U.S.$125 per ounce. Argentina Gold, with a diatreme diatreme A volcanic pipe, filled with breccia, formed by a subterranean gaseous explosion. See illustration at batholith. system several times larger than at Pascua, higher-grade resources, oxide resources versus sulphide sulphide: see sulfide. resources, over 5 million ounces of gold and 150 million ounces of silver already defined and less than 30 percent of the project area explored, has the potential to surpass Pascua in terms of economics. "The fact that Argentina Gold shareholders did not tender to Barrick's $5.00 offer confirmed what has always been management's view, that Barrick's offer was inadequate," stated Lukas H. Lundin, a director of Argentina Gold. "Our aggressive drilling campaign at the Veladero project will continue for the balance of the exploration season (end of May) with four reverse circulation rigs and two diamond core rigs. We have reaffirmed with ScotiaMcLeod their mandate to continue to seek out alternative transactions which will maximize shareholder value. The auction process initiated by Barrick continues," Mr. Lundin emphasized. "Discussions with several major mining companies are ongoing. Now that Barrick has withdrawn, we believe that it will be easier to attract another major mining company to enter into an alternative transaction with Argentina Gold which will benefit all of Argentina Gold's shareholders," added Lukas H. Lundin. ON BEHALF OF THE BOARD Lukas H. Lundin, Director The Vancouver Stock Exchange Vancouver Stock Exchange (VSE) A securities and options exchange in Vancouver, British Columbia, (Canada), specializing in venture capital companies. Vancouver Stock Exchange See Canadian Venture Exchange (CDNX). has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. |
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