Disposal of Golden Zone Project
(Thomson Reuters ONE) - HIDEFIELD GOLD PLC DISPOSAL OF GOLDEN ZONE PROJECTHidefield Gold plc ("Hidefield" or the "Company", HIF:AIM) is pleasedto announce that following completion of due diligence work on theGolden Zone Project, Alaska, the Company and its joint venturepartner Mines Trust Inc. (the "Vendors") have received notice fromFire River Gold Corp. ("FAU") (CNSX:FAU) of its intention to enterinto a formal option agreement (the "Option Agreement") under whichFAU will be entitled to acquire up to a 100% interest in the GoldenZone Project. Hidefield holds a 60% interest in the project andMines Trust Inc. holds the remaining 40% interest.Under the terms of a memorandum of understanding (the "MOU") withFAU, the Vendors granted FAU certain conditional rights to acquireall of their respective interests in the Golden Zone Project. FAUpaid an initial US$20,000 on signing of the MOU and an additionalUS$30,000 will be paid within seven days of signing of the OptionAgreement. Further cash payments of US$225,000 in total are to bepaid to the Vendors over a period of three years and are due on orbefore May 31, 2012. All payments to the Vendors are to be sharedpro rata to their respective interests in the Golden Zone jointventure.In addition to the cash payments referred to above, following thesigning of the Option Agreement, FAU will issue the Vendors with500,000 FAU common shares. In addition FAU shares, with an aggregatevalue of US$1,300,000, are to be issued to the Vendors over a fouryear period up to May 31, 2013.FAU must also undertake a total of US$2,500,000 in work expenditureby 31 December 2014 with a minimum annual commitment of US$250,000.Upon FAU having completed cumulative exploration expenditures ofUS$1,000,000, made cumulative cash payments of US$200,000 and issuedthe initial tranche of 500,000 FAU common shares and additionalUS$650,000 FAU common shares, then FAU will be deemed to have earneda 51% interest in the Golden Zone Project.Following the payment of all cash payments, the completion of all FAUshares issues and cumulative exploration expenditure to the value ofUS$2,500,000, FAU's interest in the Golden Zone Project will rise toa 100% interest which will be subject to a 2.5% Net Smelter Royalty("NSR"). Under the terms of the Option Agreement FAU can acquire 1%of this royalty for US$1,000,000 leaving the Vendors with anaggregate 1.5% NSR.Hidefield intends to use the proceeds from the foregoing option forgeneral corporate purposes. At this time, Hidefield has no plansregarding the retention or disposal of any FAU shares which may beacquired under the foregoing option.GOLDEN ZONE PROJECTThe Golden Zone Project is located 240 km north of Anchorage, Alaskaon the south flank of the Alaska Range. The project is accessible byroad, and is just 19 km from the Parks Highway, which connectsFairbanks and Anchorage. A fully self contained camp and workfacility is on site.The project contains a measured and indicated resource ofapproximately 253,000 ounces of gold, 1,180,000 ounces of silver and6,114,000 pounds of copper. A technical report prepared by NorwestCorporation in May, 2005 is available on the Hidefield website. FAUhas indicated it intends to confirm the stated resource inpreparation for an updated National Instrument 43-101 complianttechnical report later in 2009.ABOUT HIDEFIELDHidefield is a gold company with a focus on the acquisition anddevelopment of highly prospective projects in North and SouthAmerica. The Company has a diverse portfolio of projects, those ofwhich in South America are directly held as are the projects inAlaska, while those in Canada, Nevada and Arizona are held inindependent, self-funded associate companies.Hidefield's substantial direct gold project interests are principallyin Argentina where the Company is actively exploring the advancedstage Don Nicolas gold project in Santa Cruz Province. In Brazil theCompany is focused on the evaluation of the advanced stage Cata Pretagold project near the historic city of Ouro Preto in the productiveQuadrilatero Ferrifero region of Minas Gerais state.For more information on Hidefield go to www.hidefieldgold.comEnquiries:Hidefield Gold PlcKen Judge, Chairman+ 44 773 300 1002Investor RelationsJon Bey: North America+ 1 800 689 2599Hanson Westhouse LimitedTim Feather / Matthew Johnson+ 44 113 246 2610---END OF MESSAGE---This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.
Datum: 19.08.2009 - 08:01 Uhr
Sprache: Deutsch
News-ID 4847
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