DGAP-News: United Mining Group(UMG) Completes Purchase Agreement on Contiguous Exploration Lands for its Crescent Silver Mine in Idaho
(firmenpresse) - DGAP-News: United Mining Group / Key word(s): Agreement
United Mining Group(UMG) Completes Purchase Agreement on Contiguous
Exploration Lands for its Crescent Silver Mine in Idaho
14.12.2010 / 15:15
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Vancouver, B.C. - United Mining Group, Inc. (TSX: UMG; Frankfurt: UM8;
OTCQX: UMGZF) is pleased to announce that it has completed its claims
purchase agreement that increases its contiguous exploration land holdings
by approximately 265%, from approximately 143 hectares (353 acres) to a new
total of 379 hectares (973 acres) at the Company's Crescent Mine project in
Idaho's prolific Silver Belt. UMG's land holdings are bounded on the east
by the Sunshine Mine property and to the west by the Bunker Hill deposit.
The land agreement and terms were originally announced on October 12, 2010.
The famous 'Silver Valley', which is located in northern Idaho, is the
second largest silver-producing district in the world, with recorded
production in excess of 1 billion ounces of silver, the majority of which
was mined from the Sunshine and Bunker Hill mines, which border UMG's
significantly enhanced land position. With the increase in the price of
precious metals, the district is undergoing renewed activity, and the
exploration and discovery opportunities which still remain are now coming
to be understood.
With this acquisition, UMG is now able to begin exploring what management
considers the highest-potential yet amongst the most under-explored
exploration ground in the district. A large and comprehensive exploration
program is planned to augment the underground exploration now underway.
Despite their strategic location, and geological potential, relatively
little historic exploration has been carried out on the newly-acquired
lands. Approximately 4.5 kilometers of cross cuts and development drifts
were historically constructed to follow silver mineralization which was
discovered at surface. The degree of historic mining is not recorded
although a 200 ton per day mill was constructed at one of the adits. The
Company plans, in addition to a rigorous surface drilling program, to
rehabilitate a portion of these adits to allow for underground drilling to
depth during the coming year.
Dr. Lawrence Dick, Ph.D., P.Geo., company Director and head of UMG's
Geological Advisory Committee, states: 'with the acquisition of this
strategic exploration landholding, UMG now controls what Management
considers to be the most prospective exploration ground in the most
historically-productive part of the famous Idaho Silver Belt, that is, the
Bunker Hill-Crescent-Sunshine segment, where more than half of the 1
billion ounces of silver produced in the belt were mined. UMG has a very
active exploration period ahead, with a large portion of the next year's
budget targeted towards underground exploration at the past-producing
Crescent mine where vast parts of the potential have never been drill
tested. We also intend to explore the newly-acquired claims which are an
extension of the Sunshine-Crescent geology, particularly the presence of
the silver-hosting Alhambra and South fault zones, which cross the
property, yet have been poorly explored historically'.
For a visual depiction of UMG's current land holdings in the Silver Valley,
the location of the Crescent Mine, and the relationship to the bounding,
world-class deposits, please click on
http://unitedmininggroup.com/graphics/LandClaims_Map_lg.jpg or go to the
Company's web site at www.unitedmininggroup.com
About United Mining Group
United Mining Group is a profitable, vertically integrated mining company
with operations in Idaho, USA. The Company offers a full suite of mining
services including contract mining to silver miners in the district. The
Company owns its own custom welding and fabrication shop allowing it to
repair/rebuild equipment for its own use and for outside mining companies.
The Company is currently earning, through development and operations, an
80% interest in the Crescent Silver Mine adjacent to the Sunshine Silver
Mine in the Silver Valley. The Crescent Mine has historically produced 25
million ounces of silver at an average grade of 27.3 opt (SRK Consulting
43-101 report, March 1, 2010). UMG currently has an indicated resource of
6.1 million ounces silver (324,000 tons grading 18.7 opt silver) and
additional inferred resources of 4.1 million ounces silver (211,000 tons
grading 19.5 opt silver).
UMG is committed to building a senior silver-producing mining company based
on aggressive exploration and development of the highly-prospective current
land position at Crescent and through the acquisition of additional silver
interests.
For more information about the Company, please visit:
www.unitedmininggroup.com
In compliance with NI 43 101, Lawrence Dick, Ph.D., P.Geo., is the
Qualified Person responsible for the accuracy of this news release.
Charles Pitcher
Chief Executive Officer
FOR MORE INFORMATION, PLEASE CONTACT:
Greg Stewart
President&Chief Operating Officer
Tel: +1 208.682.9018
gstewart(at)unitedmininggroup.com
FORWARD LOOKING STATEMENTS: This press release contains forward-looking
statements, which address future events and conditions, which are subject
to various risks and uncertainties. Forward looking statements in this
press include that our property has the highest potential and is most
productive amongst the unexplored areas in the region, that we will
undertake a comprehensive exploration program, that we will rehabilitate
adits to drill underground to depth, that , and that we can build a senior
silver-producing mining company based on aggressive exploration and
development of the highly-prospective current land position at Crescent and
through the acquisition of additional silver interests. The Company's
actual results and financial position could differ materially from those
anticipated in such forward-looking statements as a result of numerous
factors, some of which may be beyond the Company's control. These factors
include: results of exploration activities and development of mineral
properties, fluctuations in the marketplace for the sale of minerals, the
inability to implement corporate strategies, the inability to obtain
financing, currency fluctuations, general market and industry conditions
and other risks disclosed in the Company's filings with Canadian Securities
Regulators.
Forward-looking statements are based on the expectations and opinions of
the Company's management on the date the statements are made. The
assumptions used in the preparation of such statements, although considered
reasonable at the time of preparation, may prove to be imprecise and, as
such, undue reliance should not be placed on forward-looking statements.
The Company expressly disclaims any intention or obligation to update or
revise any forward-looking statements whether as a result of new
information, future events or otherwise.
The TSX Exchange has not reviewed and does not accept responsibility for
the adequacy or accuracy of the content of this news release.
End of Corporate News
14.12.2010 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
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106435 14.12.2010
Datum: 14.12.2010 - 15:15 Uhr
Sprache: Deutsch
News-ID 32858
Anzahl Zeichen: 0
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Kategorie:
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