LAKE ELSINORE, Calif.--(BUSINESS WIRE)--April 18, 2001--Management
of Medinah Minerals, Inc. is pleased to announce that a Joint Venture
Agreement on the Company's Alto de Lipangue gold/copper discovery near
Santiago, Chile has been signed with a London, England based Venture
Capital Corporation.
The Agreement is subject only to final property due diligence by
the joint venture partner.
Under the terms of the Agreement, Medinah Minerals, Inc. will
receive USD $5,000,000 in exchange for 25% of the Alto de Lipangue
group of claims. The funds are non-repayable and non-convertible to
any equity position. The joint venture will share all mining revenues
from the claims on the basis of 75% to Medinah and 25% to the Partner.
The venture partner has the first right of refusal to provide any and
all additional funding required by Medinah. Closing shall occur within
30 days from the signing date, April 14, 2001.
The funds will allow Gordon House, P.Geo., Project Manager, to
conduct accelerated deeper drilling to intersect the suspected large
tonnage copper/gold porphyry underlying and causative of the recently
discovered copper/gold breccia pipe.
The drill programs carried out to date have systematically
followed the breccia pipe down dip or plunge, showing the strength of
both the breccia pipe and the contained mineralization. The results
from the three phases of diamond drilling show a change in the style
of alteration with depth, as well as a change in the mineralization
encountered within the breccia pipe. These changes are consistent with
the accepted zoning related to breccia bodies associated with porphyry
bodies, with the epithermal style of mineralization carrying higher
grade values than the mesothermal and the deeper hypothermal zones.
These deeper hypothermal zones carry the sought after larger ore
bodies. |
