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VENEZUELAN GOLDFIELDS ISSUES STATEMENT

 VANCOUVER, Canada, March 3 /PRNewswire/ -- Venezuelan Goldfields Ltd. today issued the following:
 1) Minex continues to default in making Oro Uno property payments.
 2) New court action commenced against Minex to revoke its claim to ownership of Oro Uno concession.
 3) International Kengate Venture's proposed financing deemed irrelevant to Minex status re: the Oro Uno concession.
 4) Vengold challenges IKV press release of March 2, 1993.
 Venezuelan Goldfields Ltd. ("Vengold") issues this press release to announce the commencement of additional litigation against Explotaciones Minera, C.A. ("Minex"). Vengold is highly confident that this litigation, in addition to earlier litigation, will result in Minex ultimately being found to have no rights whatsoever to the Oro Uno concession.
 On March 2, 1993 an additional action was commenced by Mr. Alexandrino Nogueira against Minex in the Venezuelan courts as a result of the failure of Minex to make an additional installment payment in the amount of approximately US$1,200,000 (plus interest) which was due on Feb. 28, 1993. This new default is in addition to the continuing defaults of Minex in its repeated and publicly acknowledged failure to pay earlier overdue installments totaling over US$1,225,000 plus interest and legal costs and which were the subject of an earlier action against Minex by Mr. Nogueira. As part of recent court action, Minex publicly acknowledged the amounts due and owing and undertook to make payment, but Minex has completely failed to do so.
 As a result, Mr. Nogueira's new action seeks to revoke in its entirety the Minex contract, because Minex failed in its fundamental obligation to meet its payment obligations to him. This clear right of revocation is based not only on Article 1167 of the Venezuelan Civil Code but is also based on, and is entirely consistent with, the express terms of the contract Minex purports to rely on as its source of title to the Oro Uno concession.
 In his new action Mr. Nogueira also claims the right to retain all amounts already paid to him by Minex as an indemnity for the damages suffered by him as a result of Minex's flagrant and repeated non- fulfillment of its payment obligations to him. Additionally Mr. Nogueira is seeking an order for seizure of the Oro Uno concession, an impoundment of gold production at the site and a continuing injunction against any attempt by Minex to sell or mortgage the concession.
 This new action by Mr. Nogueira for revocation of the contract with Minex is separate and distinct from the action against Minex commenced on Feb. 16, 1993 by Alida Vargas Leon de Nogueira. Mrs. Nogueira's action sought to have the Minex contract declared null and void by reason, among other things that, contrary to the views expressed by International Kengate Ventures Ltd. ("IKV") in its March 2, 1993 press release, Mrs. Nogueira did not give her husband a power of attorney to sell the Oro Uno concession.
 Despite repeated opportunities to make the payments due in order to settle Mr. Nogueira's earlier collection action, none of Minex, Reditus, IKV or Grupo Zubillaga has provided the necessary funds or made the required payments. In the opinion of counsel, it would, in any event, now be ineffective for Minex to make such payments because of the revocation action which has been brought by Mr. Nogueira and the earlier annulment action brought by Mrs. Nogueira.
 When either of the actions of Mr. Nogueira or Mrs. Nogueira is successful, as Vengold is highly confident will be the case, the result will be that Minex will be held to have no rights or interests whatsoever in the Oro Uno concession and full ownership of the Oro Uno concession will be restored to the Nogueiras free and clear of all liabilities and encumbrances, including a currently registered mortgage in favor of Banco Metropolitano. Minex will, on the other hand, be left with all its current liabilities.
 Ivanhoe Capital Corporation has acquired all of the Nogueiras' rights and has agreed to assign these rights to Vengold. Details of the agreement between Ivanhoe Capital and Vengold will be announced shortly.
 In conclusion, Vengold and its counsel are of the opinion that Minex has no legitimate defenses to the various actions and that Minex will be found by the Venezuelan courts to have no continuing interest whatsoever in the Oro Uno concession.
 The common shares of Venezuelan Goldfields Ltd. trade on the Vancouver Stock Exchange under the symbol VZG.
 The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
 -0- 3/3/93
 /CONTACT: Joseph M. Kajszo, director of Venezuelan Goldfields, 604-688-7166/
 (VZG.)


CO: Venezuelan Goldfields Ltd. ST: IN: MNG SU:

WB -- NY054 -- 2503 03/03/93 13:15 EST
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Date:Mar 3, 1993
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