EXHIBIT 99.1
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MAGNUS INTERNATIONAL RESEOURCES INC. SIGNS FORMAL COOPERATIVE JOINT
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VENTURE CONTRACT WITH GEOLOGICAL TEAM 209 IN CHINA
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July 22, 2004 - Magnus International Resources Inc. ("Magnus") (NASD OTC-BB:
"MGNU") is pleased to announce that on July 6, 2004, it has signed a formal
cooperative joint venture contract with China Yunnan Province Nuclear Industry
Brigade 209 ("Team 209") to form a new co-operative joint venture company, Long
Teng Mining Ltd., a Chinese corporation, to carry out minerals exploration and
development in an 83.29 square kilometre area of Huidong County in Sichuan
Province, China. The property is located across the Jinsha Jiang River to the
immediate northwest of Southwestern Resources' Boka gold project in Yunnan
Province. The operations of the joint venture company will be managed under the
control of Xxxxxx. Xxxxxx is to contribute US$5,000,000 as an equity investment
into the joint venture company and Team 209 is responsible for transferring
certain gold and copper exploration permits on the Property to the joint venture
company. Upon the capital contribution by Xxxxxx and the transfer of the
exploration permits by Team 209, Xxxxxx will own 90% and Team 209 will own 10%
of the joint venture company. With respect to the US$5,000,000 equity investment
into the joint venture company by Xxxxxx, Xxxxxx is required to contribute not
less than US$460,000 within three months after the issuance of the joint venture
company business license; US$1,000,000 within twenty four (24) months after the
issuance of the joint venture company business license; US$1,550,000 within
thirty-six (36) months after the issuance of the joint venture company business
license; and based on the results of the exploration by the joint venture
company, if required, an additional US$1,990,000 within forty-eight (48) months
after the issuance of the joint venture company business license. In addition,
Xxxxxx is required to provide Team 209 with the equivalent of US$500,000 shares
of common stock of Magnus within 30 days after the issuance of the joint venture
company business license. The capital contribution by Xxxxxx is subject to
certain conditions precedent being satisfied. If further funding is required for
carrying out more exploration and development activities, Xxxxxx will be
responsible for providing such funding, however, Team 209 will remain a 10%
owner of the joint venture company.
Magnus International Resources, Inc. is engaged in the acquisition, exploration
and development of gold, copper, and silver properties, focusing on China.
For further information please contact Investor Relations at (000) 000-0000 or
(000) 000-0000.
THIS NEWS RELEASE MAY INCLUDE FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF
SECTION 27A OF THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, AND SECTION
21E OF THE UNITED STATES SECURITIES AND EXCHANGE ACT OF 1934, AS AMENDED, WITH
RESPECT TO ACHIEVING CORPORATE OBJECTIVES, DEVELOPING ADDITIONAL PROJECT
INTERESTS MAGNUS' ANALYSIS OF OPPORTUNITIES IN THE ACQUISITION AND DEVELOPMENT
OF VARIOUS PROJECT INTERESTS AND CERTAIN OTHER MATTERS. THESE STATEMENTS ARE
MADE UNDER THE "SAFE HARBOR" PROVISIONS OF THE UNITED STATES PRIVATE SECURITIES
LITIGATION REFORM ACT OF 1995 AND INVOLVE RISKS AND UNCERTAINTIES WHICH COULD
CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE IN THE FORWARD-LOOKING
STATEMENTS CONTAINED HEREIN.
