MICREX DEVELOPMENT CORP.
A mineral exploration and development company operating in Canada and the United States
TSX Venture Exchange symbol "MIX"
SEC 12 g (3) Exemption 82-4281
For immediate release
September 13, 2006
Clarification Regarding Quebec Property Production
Micrex Development Corp. issued the following clarification today in response to shareholder enquiries about its Sept. 13, 2006 press release.
Micrex reported that it would receive $15 per finished tonne from material produced by Specialty Minerals Corp. from its Quebec St. Charles deposit. Shareholders asked to compare this to the return that Micrex would have received from the production of heavy media from that same deposit. Shareholder confusion may result from comparisons between the value per raw tonne versus the value per finished tonne due to the different products produced.
In respect to heavy media, Micrex expects to recover an average of 30% magnetite suitable for heavy media from each raw tonne of ore from Quebec. Given that return, it will take 3.33 tonnes of raw ore to make one tonne of finished heavy media. Based on current market and production method assumptions being used by the Company, the expected pre-tax profit from one tonne of finished heavy media product would be approximately $50.00 per tonne. When compared to the raw tonne value that would be $50.00 divided by 3.33 raw tonnes being equal to approximately $15 of magnetite value per raw tonne.
The royalty that Micrex will receive from Specialty Minerals Corp. is based on the products that Specialty Minerals intends to produce. Specialty Minerals finished product uses one tonne of raw ore to make one tonne of finished product. Therefore the value per raw tonne to Micrex is exactly the same as for heavy media at $15 per raw tonne.
In addition Micrex has secured a further 10% profit share from sales by SMC, thereby participating in the returns that SMC will realize from their unique market. The two companies are also participating in research to expand into secondary mineral production that would benefit both companies.
In short Micrex will be receiving the same return from their magnetite at Quebec as they would have if they were to produce their own heavy media product, as well as receiving a profit share on new markets, all without building a heavy media plant with its attendant capital costs, permitting requirements or operational demands.
Further information may be obtained from Perry Meszaros or S.E. Marshall at (780) 448-0922
or email at mixinfo-1@mixcorp.com
Web site address: www.mixcorp.com
MICREX DEVELOPMENT CORP.
Peace River Diamond Property • Burmis Magnetite/Titanium Property • St. Charles de Bourget Magnetite/Titanium Property • Fort Steel Placer Property • Bighorn Gold Mine • Banks Gold Mine • Mount Royal Gold Mine • Deadwood Gold Mine • Sunburst Gold Property
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