Twin Mining strikes deal on promising diamond property
TORONTO, June 8 /CNW/ - Twin Mining Corporation ("Twin Mining") (TSE:TWG)
is pleased to announce that it has signed a letter agreement with Helix
Resources Inc. ("Helix"), a private company, to acquire their 100% owned
claims totalling 7,128.5 acres on the Brodeur Peninsula, Baffin Island.
Contingent on the positive conclusion of Twin Mining's due diligence and
regulatory approval, Helix will receive $50,000 and 30,000 common shares on or
before October 31, 2000. At the same time the claims will be transferred to
Twin Mining. Twin Mining's property ownership will be maintained through
regular annual payments in cash and shares. Once 500,000 carats have been
produced from the property, Helix will receive $1 million and 500,000 shares
as well as a 5% net profits interest and a 1% gross royalty after crediting
all previous payments.
As part of the acquisition agreement, 16 claims, covering 26,290 acres,
have been staked to the credit of Twin Mining. The claims cover some 40
prospective kimberlite targets identified together with Helix.
The Helix claims, which were inspected by Twin Mining recently, cover
three (3) outcropping kimberlite pipes. Helix found a 3.5 mm (0.768 carats)
white and transparent gem quality diamond by panning material collected on the
outcropping pipes. A sample of 26.45 kg of weathered material from the pipes
was submitted to Lakefield Research for caustic fusion and produced 15
diamonds of which two (2) are macro diamonds larger than 1 mm.
Due diligence on the Helix claims and geological reconnaissance work on
the Twin Mining claims will be carried out during the 2000 summer exploration
season.
Twin Mining, in addition to exploring the TORNGAT diamond prospect on the
east side of Ungava Bay in northern Qu‚bec, also holds a gold mining project
containing reserves of one million ounces of gold and 3.2 million ounces of
silver in Idaho, United States of America. |
