Resource World Magazine

Newswire Dissemination, SEDAR and EDGAR services since 1998 SEDAR filings starting at $25.00 Newswire Dissemination starting at $95.00 Unlimited Words EMAIL: sales@FSCwire.com GEOLOGIX PREPARES MEXICAN PREFEASIBILITY STUDY Dunham Craig, President and CEO, Geologix Explorations Inc. [GIX-TSX], reports results of its Prefeasibility Study (PFS) at its 100%-owned Tepal goldcopper project, Michoacán state, Mexico. Highlights of the study: • The project's estimated post-tax NPV, at a 5% discount, is $421 million with an IRR of 28% • The project's estimated pre-tax NPV, at a 0% discount, is $925 million with an IRR of 36% • The project's estimated payback period is 2.7 years pre-tax and 3.2 years post-tax Pre-production capital costs for the project are estimated to be $354 million • The project is expected to produce an average of 117,000 ounces of gold and 49 million pounds of copper annually over its initial seven years of operation • The project has an estimated mine life of 11.5 years, and an average milling rate of 38,700 tonnes per day • Life-of-mine cash costs of production, net of by-product credits, are estimated to be $170/oz. for gold or $0.62/lb. for copper. Based upon statistical four year trailing average metal prices, "We are very pleased to announce the completion of Tepal's PFS, and are encouraged by these promising results," stated Craig, "The production estimates presented by the PFS exceed our previous internal estimates, and we believe the anticipated pre-production capital costs are manageable. " "As a result of a redesign of our mill process plant, the completion of this PFS took several months longer than we initially anticipated. Fortunately, the company utilized this delay to acquire vendor, contractor, and supplier quotations for all major equipment, construction costs, and supplies required by the project. The benefit of these refined quotations is a significant increase in the accuracy of our operating and capital cost estimates." 46 www.resourceworld.com PHONE: 1-866-873-8327 "Geologix also proceeded with work on a Feasibility Study for Tepal during these months. As a result, we anticipate completing this major milestone during the current year. The other major objective in our near future is to secure financing for the project's pre-production capital cost of $354 million. We believe this funding should be available through a consortium of metal traders and streamers, smelters, equipment financiers, and commercial bank syndicates. The company is currently in active discussions with multiple institutions within these groups." XSTRATA – GLENCORE MERGER PROCEEDING The proposed merger between Xstrata plc [XTA-LSE, Swiss; XSRAF-USOTC] and Glencore International plc [GLEN-LSE], announced last fall, is proceeding. Xstrata is an Anglo-Swiss multinational mining company based in Zug, Switzerland with its registered office in London, UK. The company is a major producer of coal, copper, nickel, primary vanadium and zinc. It is also the world's largest producer of ferrochrome. Xstrata has operations in over 20 countries, including Africa, Asia, Australasia, Europe, North and South America and employs more than 70,000 people globally. Glencore, headquartered in Baar, Switzerland, is one of the world's leading integrated producers and marketers of commodities. The company has worldwide activities in the production, sourcing, processing, refining, transporting, stor- WEB: www.FSCwire.com age, financing and supply of metals and minerals, energy products and agricultural products. Glencore employs close to 3,000 people in its global marketing operations in some 50 offices in over 40 countries. In its industrial operations, Glencore employs over 58,000 people in 33 countries. Xstrata shareholders have approved the proposed merger with Glencore, subject to regulatory approvals. The merger involves an exchange of securities of a UK company for the securities of a Jersey company and is subject to Jersey and UK disclosure requirements, which differ from those of the United States. The merger is proposed to be made by means of a scheme of arrangement with the merged company to be known as Glencore Xstrata. Completion of the merger is conditional upon receipt of the outstanding regulatory approval in China and completion of the Xstrata court process set out in the New Scheme Document in connection with the merger published by Xstrata on October 25, 2012 and Glencore giving effect to the commitments required by the European Commission. The longstop date (date for completion) for the merger has been extended to May 2, 2013. SUNCOR CANCELS VOYAGEUR UPGRADER PROJECT Suncor Energy Inc. [SU-TSX] reports that it is not proceeding with the Voyageur Upgrader Project in Alberta. The decision is the result of a joint strategic and economic review launched by Suncor and its joint venture partner Total E&P Canada Ltd. in late 2012. As a result of not proceeding with the project, Suncor expects to incur a charge to first quarter 2013 net income and cash flow from operations of approximately $140 million and $180 million respectively. On March 27, 2013, Suncor acquired Total E&P Canada Ltd.'s interest in the Voyageur Upgrader Limited Partnership for $515 million to gain full control over the partnerships assets. n M AY 2 0 1 3

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