Owner
Post by Franko10 ™ on Dec 6, 2007 8:43:27 GMT -5
MORGAIN INCREASES LAND POSITION AT ITS LA FORTUNA GOLD PROJECT IN DURANGO, MEXICO
Vancouver, BC, August 13, 2007 – Morgain Minerals Inc. (“Morgain”) (TSX-V: MGM) is pleased to announce that it has signed an agreement to purchase 8 additional mineral concessions (the “Concessions”) totalling 9,851 hectares and surface rights covering 20 hectares located in Durango, Mexico. The Concessions completely surround and adjoin Morgain’s existing La Fortuna concessions and offer exploration potential. Under the terms of the purchase agreement, in consideration for the acquisition of the Concessions and the Claims, Morgain has agreed to pay to the vendor an aggregate of US$300,000 in cash payable in instalments by June 27, 2009 and has agreed to issue to the vendor an aggregate of 1,000,000 common shares of Morgain upon acceptance by the TSX Venture Exchange (“TSX-V”).
Between 1974 and 1988, Consejo de Recursos Minerals (CRM) and the Servicio Geologico Mexicano (SGM), both geological agencies of the Mexican government, defined four mineralized areas with more than 20 structures and breccias on the Concessions. Historical sampling obtained assay values of up to 80 grams of gold per tonne (g/t) and 1,500 g/t silver. The historical estimates are relevant as they offer the potential for both high-grade gold mineralization and low-grade, bulk tonnage mineralization. Much of the concessions are currently unexplored. These historical assays were calculated prior to the implementation of National Instrument 43-101 and do not comply with the current Canadian Institute of Mining, Metallurgy and Petroleum (CIM) standards and definitions for estimating resources and reserves as required by Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects”. Sufficient work has not been done to verify the historical assays and therefore should not be relied upon.
Prior to the current acquisition of Concessions, Morgain’s holdings at La Fortuna were detailed in an independent, National Instrument 43-101 Compliant Technical Report (“the Report”) prepared by Toren K. Olson, P.Geo. of Toren Olson Consulting (see May 17, 2007 press release). As described in the Report, La Fortuna is located in the north-western corner of the State of Durango, Mexico about 70 kilometers northeast of Culiacan. Between 1991 and 1996, in excess of US$ 9.0 million was spent by previous owners developing La Fortuna. Previous work included detailed mapping and sampling of underground openings, and 121 closely spaced diamond drill holes aggregating a total length of 18,900 meters.
In July of 1995 Fluor Daniel Wright (Fluor) of Vancouver, B.C. was commissioned to estimate the geological resource and to develop preliminary open pit designs for La Fortuna. This work produced an historical resource at a 0.5 g/t cut-off grade of 4,451,000 tons grading 2.25 g/t gold, 29.9 g/t silver and 0.23% copper (322,000 ounces gold, 4.3 million ounces silver, and 22.6 million pounds of copper). It should be noted that the historical resources discussed above were calculated prior to the implementation of National Instrument 43-101 and do not comply with the current Canadian Institute of Mining, Metallurgy and Petroleum (CIM) standards and definitions for estimating resources and reserves as required by Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects”. Sufficient work has not been done to verify the historical resource estimate and to classify it as a current mineral resource and therefore this estimate should not be relied upon.
The Report concludes that “the La Fortuna ore body is well defined with 121 diamond drill core holes on a relatively close spacing”, and goes on to note that there “are several other showings around the property which may also develop into resources with additional exploration and definition drilling thereby increasing the potential at La Fortuna.”
As recommended in the Report, Morgain will initiate a US$198,000.00 work program (that includes twinning eight holes to verify historic drilling data) commencing in the fourth quarter of 2007 with the goal of producing a National Instrument 43-101 compliant resource estimate during the first quarter of 2008. In conjunction with this work program, Morgain will commence a prospecting program at the new Concessions.
Certain technical information set out in this news release has been reviewed and verified by Richard J. Adams, P.Eng., MBA, a Director of Morgain, who is a Qualified Person for the purposes of National Instrument 43-101.
Morgain Minerals Inc. is an emerging gold producer focused in Mexico. Morgain is currently constructing a gold heap-leach facility at its 100% owned El Castillo Gold Project (“Castillo”), also located in Durango, Mexico. Castillo is scheduled to produce approximately 350,000 ounces of gold over a twelve year mine life, averaging 30,000 ounces per year. Gold production is forecasted for the third quarter of 2007.
Visit Morgain’s website www.morgainminerals.com for the latest corporate information.
ON BEHALF OF MORGAIN MINERALS INC.
Christopher E. Babsmall thingy
President and CEO
For further information, please contact:
Court Babsmall thingy, Investor Relations: 604.643.1727
Coal Harbour Communications Inc. (Dale Paruk): 604.662.4505 or Toll-free 1.877.642.6200
CAUTION REGARDING FORWARD LOOKING STATEMENTS:
This news release may contain forwarding-looking statements, including but not limited to the services to be provided under the investor relations agreement and securities to be issued by Morgain. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties.
Actual results may differ materially from those currently anticipated in such statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release.
Vancouver, BC, August 13, 2007 – Morgain Minerals Inc. (“Morgain”) (TSX-V: MGM) is pleased to announce that it has signed an agreement to purchase 8 additional mineral concessions (the “Concessions”) totalling 9,851 hectares and surface rights covering 20 hectares located in Durango, Mexico. The Concessions completely surround and adjoin Morgain’s existing La Fortuna concessions and offer exploration potential. Under the terms of the purchase agreement, in consideration for the acquisition of the Concessions and the Claims, Morgain has agreed to pay to the vendor an aggregate of US$300,000 in cash payable in instalments by June 27, 2009 and has agreed to issue to the vendor an aggregate of 1,000,000 common shares of Morgain upon acceptance by the TSX Venture Exchange (“TSX-V”).
Between 1974 and 1988, Consejo de Recursos Minerals (CRM) and the Servicio Geologico Mexicano (SGM), both geological agencies of the Mexican government, defined four mineralized areas with more than 20 structures and breccias on the Concessions. Historical sampling obtained assay values of up to 80 grams of gold per tonne (g/t) and 1,500 g/t silver. The historical estimates are relevant as they offer the potential for both high-grade gold mineralization and low-grade, bulk tonnage mineralization. Much of the concessions are currently unexplored. These historical assays were calculated prior to the implementation of National Instrument 43-101 and do not comply with the current Canadian Institute of Mining, Metallurgy and Petroleum (CIM) standards and definitions for estimating resources and reserves as required by Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects”. Sufficient work has not been done to verify the historical assays and therefore should not be relied upon.
Prior to the current acquisition of Concessions, Morgain’s holdings at La Fortuna were detailed in an independent, National Instrument 43-101 Compliant Technical Report (“the Report”) prepared by Toren K. Olson, P.Geo. of Toren Olson Consulting (see May 17, 2007 press release). As described in the Report, La Fortuna is located in the north-western corner of the State of Durango, Mexico about 70 kilometers northeast of Culiacan. Between 1991 and 1996, in excess of US$ 9.0 million was spent by previous owners developing La Fortuna. Previous work included detailed mapping and sampling of underground openings, and 121 closely spaced diamond drill holes aggregating a total length of 18,900 meters.
In July of 1995 Fluor Daniel Wright (Fluor) of Vancouver, B.C. was commissioned to estimate the geological resource and to develop preliminary open pit designs for La Fortuna. This work produced an historical resource at a 0.5 g/t cut-off grade of 4,451,000 tons grading 2.25 g/t gold, 29.9 g/t silver and 0.23% copper (322,000 ounces gold, 4.3 million ounces silver, and 22.6 million pounds of copper). It should be noted that the historical resources discussed above were calculated prior to the implementation of National Instrument 43-101 and do not comply with the current Canadian Institute of Mining, Metallurgy and Petroleum (CIM) standards and definitions for estimating resources and reserves as required by Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects”. Sufficient work has not been done to verify the historical resource estimate and to classify it as a current mineral resource and therefore this estimate should not be relied upon.
The Report concludes that “the La Fortuna ore body is well defined with 121 diamond drill core holes on a relatively close spacing”, and goes on to note that there “are several other showings around the property which may also develop into resources with additional exploration and definition drilling thereby increasing the potential at La Fortuna.”
As recommended in the Report, Morgain will initiate a US$198,000.00 work program (that includes twinning eight holes to verify historic drilling data) commencing in the fourth quarter of 2007 with the goal of producing a National Instrument 43-101 compliant resource estimate during the first quarter of 2008. In conjunction with this work program, Morgain will commence a prospecting program at the new Concessions.
Certain technical information set out in this news release has been reviewed and verified by Richard J. Adams, P.Eng., MBA, a Director of Morgain, who is a Qualified Person for the purposes of National Instrument 43-101.
Morgain Minerals Inc. is an emerging gold producer focused in Mexico. Morgain is currently constructing a gold heap-leach facility at its 100% owned El Castillo Gold Project (“Castillo”), also located in Durango, Mexico. Castillo is scheduled to produce approximately 350,000 ounces of gold over a twelve year mine life, averaging 30,000 ounces per year. Gold production is forecasted for the third quarter of 2007.
Visit Morgain’s website www.morgainminerals.com for the latest corporate information.
ON BEHALF OF MORGAIN MINERALS INC.
Christopher E. Babsmall thingy
President and CEO
For further information, please contact:
Court Babsmall thingy, Investor Relations: 604.643.1727
Coal Harbour Communications Inc. (Dale Paruk): 604.662.4505 or Toll-free 1.877.642.6200
CAUTION REGARDING FORWARD LOOKING STATEMENTS:
This news release may contain forwarding-looking statements, including but not limited to the services to be provided under the investor relations agreement and securities to be issued by Morgain. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties.
Actual results may differ materially from those currently anticipated in such statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release.
