Absolutely Fantastic News
Folks we now have a company with prospects for a 2 million ounce
reserve. The Mosquito properties have at least 700,000 ounces
and the new resource calculation could very well be the big
2million ounces. Frank Callaghan has worked out an incredible deal
for the Mosquito properties. Given the earlier assumption of 50 dollars net at todays price of gold the stock should be worth at
least 4 dollars. Remember Argentina is trading in the 5.00 range
with slightly more reserves.
Little Joe
NTERNATIONAL WAYSIDE GOLD MINES LTD
("IWA-V;IWYGF-L") MOSQUITO CONSOLIDATED
GOLD MINES LTD ("MSQ-V;MQCMF-L") - Cariboo Gold
Project Consolidated
The Board of Directors of International Wayside Gold Mines Ltd.
("Wayside") and Mosquito Consolidated Gold Mines Limited
("Mosquito") announce that Mosquito and Wayside have agreed that Wayside will have an option
to purchase the remaining 50% of the Cariboo Gold Quartz mine, 100% of the Island Mountain
mine and 100% of the Mosquito Creek mine (the "Properties") from Mosquito.
1. Mosquito hereby grants an option to Wayside to purchase the
above-noted interest in the Properties, subject only to a Net
Smelter Royalty, in favor of Mosquito, of 3% of net revenues
derived from the production of minerals from the Properties.
2. Mosquito grants Wayside the option to purchase the Net Smelter
Royalty for $4,200,000 US, such option to be exercised within
12 months of completion of a feasibility study on the
Properties.
3. In consideration of Mosquito granting the option to purchase
the Properties, Wayside shall pay $100,000 per year option
payments for up to five (5) years to Mosquito to the year
December 31,2002. Wayside can exercise their option to
purchase the Properties at any time, the purchase price is
$3,500,000 CDN. In the event Wayside should maintain their
option to December 31, 2002 then Wayside will have the option
to pay $3,500,000 by December 31, 2003.
a. $10,000.00 shall be payable upon the signing of the Letter
Agreement (PAID).
b. $10,000.00 shall be payable on or before December 31, 1998.
c. $80,000.00 shall be payable on or before January 31, 1999.
d. $100,000.00 shall be payable on or before December 31, 1999.
e. $100,000.00 shall be payable on or before December 31, 2000.
f. $100,000.00 shall be payable on or before December 31, 2001.
g. $100,000.00 shall be payable on or before December 31, 2002.
h. $3,500,000 shall be payable on or before December 31, 2003.
Upon completion of the purchase payment of $3,500,000 by Wayside,
Mosquito shall transfer title to the Properties to Wayside, free and clear
of any liens, charges or other encumbrances.
4. Both Mosquito and Wayside will co-operate with each other and
will use their best efforts to have a formal property option
agreement to incorporate the terms of the letter agreement,
incorporating all standard terms normally included in property
option agreements of this sort drafted and executed, within 60
days of the date of the agreement.
5. All transactions contemplated herein shall be subject to the
approval of the Vancouver Stock Exchange and any other
regulatory body having jurisdiction over Mosquito and/or
Wayside.
6. Wayside is responsible for satisfying the outstanding 10% Net
Profits Interest in relation to the Property presently held by
Cameron J. McFeely, et al.
7. Mosquito grants Wayside an option to purchase all the equipment
on the Properties owned by Mosquito as of the date of the
agreement.
8. Mosquito will retain all placer rights to the Properties.
TEL: (604) 669-6463
J. Frank Callaghan, President FAX: (604) 669-3041
International Wayside Gold Mines Ltd. TEL: (604) 689-7902
Dr. William Malone, Director FAX: (604) 689-7816
Mosquito Consolidated Gold Mines Ltd. |
