Hello Condor
MC news this AM:
Mill City and Consolidated Grandview Join Forces to Develop Carlin Trend Property
Wednesday March 3, 10:30 am ET
TSX VENTURE SYMBOL "MC"
CALGARY, March 3 /CNW/ - MILL CITY INTERNATIONAL CORPORATION ("Mill City") is pleased to announce the formation of a joint venture with Consolidated Grandview Inc. ("CGI") of Toronto, Ontario to explore and develop the Pony Creek/Elliott Dome Property located in the Carlin Trend, Nevada. CGI has agreed to pay Mill City US$125,000 within fifteen days, spend a total of US$5 million, complete a minimum of 150,000 feet of drilling, and assume all underlying property obligations to earn a 60% interest in the 2667 hectare (10+ square mile) property.
Upon completion of the above, CGI can elect to earn an additional 10% interest in the property by funding and delivering a bankable feasibility study. Mill City can elect at any time after CGI has earned its 60% interest to dilute to a 20% carried interest.
CGI has committed to satisfying Mill City within 60 days that it has US$500,000 available to complete exploration expenditures for Year 1.
The Pony Creek/Elliott Dome property consists of 10+ square miles within the prolific Carlin Trend which has produced 50+ million ounces of gold from a resource of more than 100 million ounces. The property extends along 6+ miles of the Pinon Graben and related structures. Extensive shallow gold mineralization has been demonstrated by drilling 175 holes along 2 miles of the structural zone. Values up to 0.45 opt Au over 25 feet occur in conglomerates and intrusives within the half mile wide structural trend. The carbonate rocks which host the majority of gold in the Carlin Trend occur beneath this shallow resource and have not been tested.
The management of CGI has a long history in the Carlin Trend, including involvement in and exploration of properties that led to the discovery of the 5+ million ounce Leeville deposit scheduled for production by Newmont in the latter part of 2005. "With CGI's extensive financing capabilities in the capital markets, Mill City looks forward to successful exploration and development of the property", said James R. Brown, President of Mill City.
Regards
Vaughn |
