Companies reach deal in PNG

Australian-based Carpenter Pacific Resources has agreed to transfer to Mt.

Kare Gold Resources a 10% free-Carried interest (to mine feasibility) in the Mt. Kare property, which is situated near the Porgera mine in Papua New Guinea.

Mt. Kare Gold will hold the interest in trust until it is declared a proper entity to represent the landowners.

In return, the company has agreed to transfer all its contributing interest in the property to Matu Mining, a subsidiary of Carpenter.

The net effect is a return to the original distribution of interest in the property: a 10% interest for the landowners and a 90% interest for Matu.

Vancouver-based Madison Enterprises (MNP-V) can earn a 65% interest in the Mt. Kare property by spending US$8 million on exploration before August 2001.