Miranda Gold Corp. Signs Letter of Intent to Joint Venture Red Canyon
7/13/2006
VANCOUVER, BRITISH COLUMBIA, Jul 13, 2006 (CCNMatthews via COMTEX News Network) --
Miranda Gold Corp. ("Miranda") (TSX VENTURE:MAD)(OTCBB:MRDDF)(BERLIN:MRG)(FWB:MRG) is pleased to announce that it has signed a binding Letter of Intent with Romarco Minerals Inc. ("Romarco") (TSX VENTURE:R) whereby Romarco may earn a joint venture interest in the Red Canyon property, located in the Cortez Trend of Nevada.
Under the terms of the Letter of Intent, to be replaced by a definitive option agreement, Romarco can earn a 60% interest by spending US$3,000,000 over five years. A work expenditure of US$400,000 is obligated in the first year and escalates in following years. Romarco may then elect to earn an additional 10% interest (for a total of 70%) by funding a Bankable Feasibility Study.
Miranda's President and CEO, Ken Cunningham is pleased to welcome Romarco as a partner and feels both companies will benefit from the aggressive approach to exploration that is outlined in the agreement. Romarco's exploration is led by their Vice President, Dr. Tommy Thompson, who is currently Director of the Ralph J. Roberts Center for Research in Economic Geology, Mackay School of Mines, University of Nevada-Reno. As such, Dr. Thompson brings considerable knowledge and expertise regarding Carlin-type deposits to the Red Canyon project. Miranda's exploration team, which includes Vice President Joe Hebert and Senior Project Geologist Steve Koehler, have spent the last several months reviewing and modeling targets at Red Canyon from data generated by past joint venture partner, Newmont. The combined exploration expertise of the two companies will provide a sound basis for future work at Red Canyon.
The Red Canyon project area covers 7.7 square miles (19.8 square kilometers) consisting of 237 unpatented lode mining claims. The property adjoins U.S. Gold's Tonkin Springs property on the south and covers an erosional "window" that exposes altered, brecciated and silicified lower plate carbonate rocks that are age equivalent to the host rocks at the Cortez Hills discovery. The Cortez Hills project has a reported resource of 8.5 million ounces. Pending approval of drill sites and drill availability, Romarco intends to conduct an initial drill campaign in 2006.
Miranda Gold Corp. is a gold exploration company active in Nevada and whose emphasis is on generating gold exploration projects within the Battle Mountain-Eureka and Cortez Trends. Miranda performs its own grass roots exploration and then employs a joint venture business model on its projects in order to maximize exposure to discovery while minimizing exploration risk. Miranda has ongoing partnerships with Newcrest Resources Inc., Barrick Gold Exploration Inc., Agnico-Eagle (USA) Ltd., the Cortez Joint Venture, the Buckhorn Joint Venture and Golden Aria Corp. and now Romarco Minerals Inc.
ON BEHALF OF THE BOARD
Kenneth Cunningham, President and CEO |
