Madsen Reports Project Financing and Positive Drill Results.TORONTO--(BUSINESS WIRE)--Feb. 20, 1997-- Madsen Gold Corp. (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). : MGF MGF In currencies, this is the abbreviation for the Malagasy Franc. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. .) FINANCING Madsen announces that, subject to necessary regulatory approvals and completion of all formal documentation, it has arranged a project financing Project financing A form of asset-based financing in which a firm finances a discrete set of assets on a stand-alone basis. facility for $5 million or the gold ounce equivalent through Standard Bank London and Standard New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , Inc. The facility will cover mill completion costs and initial working capital estimated to be $4.5 million. Madsen has also arranged an additional $1 million standby standby Medtalk adjective Referring to the immediate availability of a certain specialist–anesthesiologist, surgeon, who can be deployed in a medical emergency. Cf Concurrent. loan facility to cover any unforeseen start-up problems. The facilities will be secured under a loan agreement with an assignment of receivables, a personal property security agreement, a debenture debenture (dəbĕn`chər), document acknowledging indebtedness. In Great Britain a debenture is practically the same as a bond, and debenture stock is similar to preferred stock. and a first mortgage on the realty realty n. a short form of "real estate." (See: real estate) REALTY. An abstract of real, as distinguished from personalty. Realty relates to lands and tenements, rents or other hereditaments. Vide Real Property. . Madsen expects to commence production by May 1997. The Corporation also re-confirms the recently announced purchase of the 2 percent net smelter return royalty of the Madsen property for a consideration of $240,000 (US) payable over approximately 2 years and payment of 100,000 shares of the Corporation. DRILL RESULTS Madsen also announces results of a near surface diamond drill hole, designated 2MD-149, in the North Tuff horizon. The intersection intersection /in·ter·sec·tion/ (-sek´shun) a site at which one structure crosses another. intersection a site at which one structure crosses another. is located at approximately 9,900 N latitude latitude, angular distance of any point on the surface of the earth north or south of the equator. The equator is latitude 0°, and the North Pole and South Pole are latitudes 90°N and 90°S, respectively. , 14,000 E departure at elevation elevation, vertical distance from a datum plane, usually mean sea level to a point above the earth. Often used synonymously with altitude, elevation is the height on the earth's surface and altitude, the height in space above the surface. 4,752 feet being approximately 1,000 feet west of the shaft and approximately 200 feet below surface. The diamond drill hole is the eastern-most of a series of holes testing the North Tuff horizon. The intersection returned the following results:
From To Interval Assay (avg.)
220.9 221.6 0.7 0.599
221.6 222.9 1.3 1.659
222.9 225.0 2.1 9.314
225.0 225.7 0.7 1.200
225.7 227.5 1.8 1.657
227.5 228.2 0.7 0.614
228.2 229.1 0.9 0.107
229.1 231.1 2.0 0.679
231.1 232.1 1.0 0.289
232.1 233.3 1.2 1.444
----- -------
Total 12.4 2.408 (uncut)
0.782 (cut)(x)
(x) All assays greater than 1 oz cut to 1 oz
The horizontal width is 9.4 feet. There are several diamond drill hole intersections obtained by previous operators, in the same geological horizon Noun 1. geological horizon - a layer of rock with a particular composition (especially of fossils); for dating the stratum horizon - a specific layer or stratum of soil or subsoil in a vertical cross section of land . These earlier diamond drill holes were collared either from surface or from the Austin Tuff approximately 300 feet to the south. Some of the more interesting intersections are as follows:
Designation Assay (cut to 1oz.)/True Width Location
S-13400 NB 0.759/13.5' North Tuff horizon
600' west, 150'
deeper than
2MD-149
S-13400 C 0.825/10' North Tuff horizon
600' west, 100'
higher than
2MD-149
2MD-2 0.228/30' North Tuff horizon
575' west, 150'
deeper than
2MD-149
2MD-1 0.310/9' North Tuff horizon
500' west, 150'
deeper than
2MD-149
2MD-118 0.361/10' North Tuff horizon
250' west, 200'
deeper than
2MD-149
2MD-117 0.408/11.3' North Tuff horizon
200' west, 200'
deeper than
2MD-149
S-13800 NA 0.487/4' North Tuff horizon
200' west, 60'
higher than
2MD-149
S-13850 NA 0.300/10' North Tuff horizon
150' west, 40'
higher than
2MD-149
There has been little testing of the North Tuff horizon between the location of hole 2MD-149 and the Madsen No. 2 shaft, approximately 1,000 feet to the east. Management believes that the above noted results add credence to the growing confidence that the North Tuff horizon may host significant economic mineralization Mineralization The process by which the body uses minerals to build bone structure. Mentioned in: Rickets mineralization, n the bioprecipitation of an inorganic substance. . Management also believes that, subject to additional confirmatory and delineation drilling in the above area, it could have a positive impact on cash flows and unit operating costs operating costs npl → gastos mpl operacionales in the initial years of production. CONTACT: Madsen Gold Corp. Gordon D. Reid, 416/862-0583 or Madsen Gold Corp. Jim Reid Jim Reid (born 29 December 1961, in Glasgow, Scotland) was the lead singer for critically acclaimed British alternative rock band The Jesus and Mary Chain, which he formed with his elder brother and guitarist William Reid. , 416/862-0583 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion