VANCOUVER, BC, July 21, 2021 /CNW/ - Deep-South Resources Inc.
("Deep-South" or "the Company") (TSXV: DSM) announces that the
Namibian legal counsel of the Company and its subsidiary, Haib
Minerals (Pty) Ltd ("Haib"), have filed an application on behalf of
Haib with the High Court of Namibia for an order reviewing the decision of
the Minister of Mines and Energy ("Minister") refusing the renewal
of Haib's licence EPL 3140 ("Licence") covering the Haib Copper
project in Namibia. The
application also seeks an urgent interdict aimed at preventing the
Ministry of Mines and Energy of Namibia ("Ministry") from granting a licence
over the same licence area to anyone else.
The respondents to the Affidavit are the Minister of Mines and
Energy, the Mining Commissioner and Orange River Exploration and
Mining CC. Orange River is cited due to its possible interest in
the matter since it applied for an Exclusive Prospecting
Licence extending over the Haib Copper deposit on November 12, 2020.
The Company will provide regular updates in this regard and any
other matter concerning this situation.
The Company intends to vigorously contest the Minister's
decision by all means necessary and available under the applicable
laws of Namibia and international
laws. The Company maintains that in its application for
renewal and subsequent representations made it clearly demonstrated
having met all criteria under the Minerals (Prospecting and Mining)
Act 1992 and licence conditions to justify the renewal of its
Licence.
As disclosed in our press release dated June 16, 2021, the Company had received notice
from the Ministry informing the Company that its application for
the renewal of its Licence had been denied citing the Company's
inability to advance the Licence to Pre-Feasibility and complete
the proposed drilling program as planned. The Company maintains
that the Ministry was kept well apprised, with no objection on
their part, of a proposed change from the Pre-Feasibility (PFS)
study to an upgraded Preliminary Economic Assessment
(PEA) and the commencement of a full Feasibility Study (FS).
The latter was already commenced with at the time of the
refusal. Moreover, the Ministry issued all permits required for
the drilling program and officials were well aware that Haib had
completed the drilling program at the time of the refusal to
renew.
As a result of the Minister's refusal to renew the Licence, the
Company has terminated all work on site and regrettably
proceeded with the retrenchment of its employees on site.
The Company is also investigating its international legal
options and will disclose its strategy in due course.
Company development
Recovering the rights of Haib Copper remains the number one
priority of the Company. However, Management of Deep-South was
already looking at other projects before the situation arose with
the Haib licence. It is important to carry on with the development
of the company and start again adding value for shareholders. Our
team is currently evaluating projects. We have identified copper
and gold exploration projects that have the potential for world
class discoveries and resources. We will keep our shareholders
informed timely of any new developments.
About Deep-South Resources Inc
Deep-South Resources is a mineral exploration and development
company Deep-South growth strategy is to focus on the exploration
and development of quality assets in significant mineralized trends
and in proximity to infrastructure in stable countries. In using
and assessing environmentally friendly technologies in the
development of its copper project, Deep-South embraces the green
revolution.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Caution Regarding Forward-Looking
Information
Information contained in this news release which are not
statements of historical facts may be "forward-looking information"
for the purposes of Canadian securities laws. Such
forward-looking information involves risks, uncertainties and other
factors that could cause actual results, performance, prospects and
opportunities to differ materially from those expressed or implied
by such forward looking information. The words "believe",
"expect", "anticipate", "contemplate", "plan", "intends",
"continue", "budget", "estimate", "may", "will", "schedule",
"understand" and similar expressions identify forward-looking
information. These forward-looking statements relate to,
among other things: the Minister's refusal to renew the Company's
Licence, the Company's intention to contest the Minister's decision
before the Courts of Namibia and
the outcome of such proceedings.
Forward-looking information is necessarily based upon a
number of estimates and assumptions that, while considered
reasonable by Deep-South, are inherently subject to significant
technical, political, business, economic and competitive
uncertainties and contingencies. Known and unknown factors could
cause actual results to differ materially from those projected in
the forward-looking information. Factors and assumptions that could
cause actual results or events to differ materially from current
expectations include, among other things: political risks
associated with the Company's operations in Namibia; the failure of the Namibian
Government to comply with its continuing obligations under the Act
to allow for the renewal of the Licence; the impact of changes in,
or to the more aggressive enforcement of, laws, regulations and
government practices; the inability of the Company and its
subsidiaries to enforce their legal rights in certain
circumstances. For additional risk factors, please see the
Company's most recently filed Management Discussions & Analysis
for its quarter ended ended February 28,
2021 available on SEDAR at www.sedar.com.
There can be no assurances that forward-looking information
and statements will prove to be accurate, as many factors and
future events, both known and unknown could cause actual results,
performance or achievements to vary or differ materially from the
results, performance or achievements that are or may be expressed
or implied by such forward-looking statements contained herein or
incorporated by reference. Accordingly, all such factors should be
considered carefully when making decisions with respect to
Deep-South, and prospective investors should not place undue
reliance on forward looking information. Forward-looking
information in this news release is made as at the date hereof. The
Company assumes no obligation to update or revise forward-looking
information to reflect changes in assumptions, changes in
circumstances or any other events affecting such forward-looking
information, except as required by applicable law.
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SOURCE Deep-South Resources Inc.