How do you like the revised deal? Looks good.....
I was heading for a double on this but the silver downdraft will probably end that today.......
Company Press Release
Silver Standard Restructures Acquisition of Argentina Project
VANCOUVER, BRITISH COLUMBIA--Silver Standard Resources Inc. is pleased to announce a revised agreement with Global Explorations Corporation (Globex) whereby Silver Standard will acquire a 40 percent interest in the Manantial Espejo silver-gold project in southern Argentina from Black Hawk Mining Inc. The Manantial Espejo project is currently held by a wholly-owned subsidiary of Black Hawk Mining Inc. (80 percent) and a subsidiary of Barrick Gold Corporation (NYSE:ABX - news; 20 percent).
Under the terms of the revised agreement, Silver Standard will enter into an option agreement with Black Hawk to earn a 50 percent interest in Black Hawk's interest. Silver Standard will acquire its project interest through cash payments of US$1.54 million to Black Hawk and exploration expenditures of US$4.5 million by December 31, 2001, extendable to 2002 under certain conditions.
On completion of the option agreement with Black Hawk, Silver Standard will pay a finder's fee to Globex, subject to approval by the Vancouver Stock Exchange and the boards of both Silver Standard and Globex. Since Globex will have no further interest in the Manantial Espejo silver-gold project, Silver Standard will not proceed with the previously reported $2.0 million private placement with Globex.
Based on block and polygonal resource calculations, the Manantial Espejo project is estimated to host reserves and resources in all categories totalling 7.9 million tonnes grading 191 grams of silver and 2.87 grams of gold per tonne. Using a 1:60 gold:silver ratio, the Manantial Espejo project contains a preliminary resource of 89.3 million ounces of silver-equivalent. Silver Standard's equity share of the resource will exceed 35 million ounces of silver equivalent. Exploration potential is considered excellent.
The project area, which covers 225 sq. km., is accessible by road in the province of Santa Cruz, a region in southern Argentina of recently discovered epithermal precious metal mineralization. Manantial Espejo is approximately 100 kilometres west-southwest of the Cerro Vanguardia Mine which has just commenced production of 200,000 ounces of gold and 1.6 million ounces of silver annually.
Silver Standard Resources Inc. is a silver resource company with exploration projects and regional offices in Australia, Argentina, Bolivia, the United States, Mexico and Peru. Silver Standard's advanced projects, owned and under option, have a combined total exceeding 100 million ounces of silver resources.
The statements that are not historical facts are forward-looking statements involving known and unknown risks and uncertainties which could cause actual results to vary considerably from these statements. The risks and uncertainties include those described in Silver Standard's Form 20F as amended.
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