Etruscan finances Nigerien project

Two private investors have purchased $1.5 million, and Echo Bay Mines (TSE) has purchased $2.7 million in common shares and warrants, in Etruscan Enterprises (VSE).

The placement enables Etruscan to continue exploration and development at the Koma Bangou property in Niger, West Africa. Koma Bangou has a preliminary resource of 10 million tonnes grading 2.46 grams gold per ton, while an additional discovery zone, the V-1, has a preliminary resource of 11 million tonnes grading 1.5 grams.

Currently, the property is owned 67% by Etruscan, 23% by the Nigerien government company ONAREM, and 10% directly by the state. Echo Bay has a back-in option agreement, allowing it to purchase a 44% direct interest in the property after Etruscan completes a feasibility study, scheduled for September, 1996.

With the placement, Echo Bay’s interest in Etruscan has increased to 19.8% of the outstanding common shares.