To all! Jan 22/97 NEWS RELEASE!
January 22, 1997
ARGENTINA JOINT VENTURE AGREEMENTS
SWANNELL MINERALS CORPORATION ("Swannell") and HARLOW VENTURES INC. ("Harlow") are pleased to announce that they have entered into an agreement with Golden Trump Resources Ltd. ("Golden Trump") whereby Golden Trump has the right to earn a 60% interest in 23 exploration concessions totaling 206,382 hectares (509,910 acres) located in the Santa Cruz Province of Argentina. To earn the 60% interest, Golden Trump must make payments totaling US$300,000 over two years, expend US $2,500,000 over three years on the properties and issue 800,000 of its shares over three years. Swannell will receive US $120,000 and 333,000 shares and Harlow will receive US $180,000 and 467,000 shares. Swannell has received a US $12,000 non-refundable cash payment and Harlow has received a US $18,000 non-refundable cash payment. Golden Trump will pay all further expenditures until the completion of a bankable feasibility study, after which all further expenditures will be on a joint venture basis. The mineral concessions are subject to a 2% net smelter royalty. The agreement is subject to a 30-day due diligence period and regulatory approval.
Golden Trump has an option to acquire an additional 10% interest by making a further payment of US $2,000,000 (Swannell US $800,000, Harlow US $1,200,000) within 60 days of receiving a bankable feasibility study and an option to acquire an additional 10% interest by paying US $5,000,000 (Swannell US $2,000,000, Harlow US $3,000,000) within 60 days of commencement of commercial production.
Swannell and Harlow are pleased that Golden Trump Resources Ltd., a company associated with Prime Equities International Corporation, is undertaking this joint venture. Swannell and Harlow are confident that the exploration program will be expeditiously undertaken.
The Santa Cruz province of Argentina is under-explored. The regional geology is predominantly volcanic in origin. Several new and potentially important gold and silver deposits have just recently been identified.
The most advanced project in the Santa Cruz province to date is the Cerro Vanguardia deposit owned by Anglo American, slated to come into production in 1998. The property is reported to host 3.4 million ounces of gold and 35 million ounces of silver.
Yamana Resources recently released results of a preliminary shallow drilling on its Martinetas property. Assays included 1.02g/t gold over 114 meters including 14 meters of 4.87 g/t. Yamana recently entered into an agreement in which Rio Algom will explore Yamana's Santa Cruz properties for a 50% interest by spending US $ 20 million by 2001. Yamana has identified 30 gold targets and is planning for a 20,000 meter drill program for 1997.
La Josefina project is being developed by the government mineral agency Fomicruz S.E. Numerous mineralized zones have been identified with preliminary estimations of at least 200,000 ounces of gold at an early stage of exploration.
Barrick Gold's Manantial Espejo property hosts epithermal gold-bearing veins that grade as high as 10g/t gold.
The topography of the area is rolling hills rising above a generally flat plain. Climate is cool desert with mild summers and moderate snowfall in winter. The claims can be reached along a paved highway from Puerto St. Julian and excellent secondary gravel roads.
Phone: (604) 687-5158
Canada/USA 1-800-565-5336
Fax: (604) 687-0339
Web site: stockgroup.com
E-mail: swannell@cyberstore.ca
On behalf of the Board of Directors,
SWANNELL MINERALS CORP.
John P. Mooney
President
Hopefully, the news sounds good so we may see the share price take flight over the next couple of weeks!!!
Best of Luck, Ron. |
