Virginia Gold Mines Inc.: Corvet Est Project-Signing of a Letter Agreement with Placer Dome/Sale of the Duncan Property to Augyva For 1.5 Million Shares of Augyva.QUEBEC CITY, Quebec -- Virginia Gold Mines Inc. (TSX TSX Toronto Stock Exchange (TSE before April, 2002) TSX Transfer from Stack Pointer to Index TSX True Space Extension :VIA)("Virginia") is pleased to announce the signing of a binding letter agreement with Placer Dome Placer Dome was a large mining company specializing in gold and other precious metals, with corporate headquarters in Vancouver, British Columbia, Canada. Barrick has acquired 100% of the Placer Dome shares on January 20, 2006, and has integrated the company into its own. (CLA CLA, n.pr See acid, conjugated linoleic. ) Limited Inc. ("Placer Dome") wherein Placer Dome has acquired an option to earn an undivided UNDIVIDED. That which is held by the same title by two or more persons, whether their rights are equal, as to value or quantity, or unequal. 2. Tenants in common, joint-tenants, and partners, hold an undivided right in their respective properties, until 50% beneficial interest in the 690 mining claims comprising the Corvet Est property, located south of the LG-4 reservoir, in the Middle North, Province of Quebec. Under the terms of the agreement Placer Dome shall make cash payments to Virginia for a total of CAD$90,000 ($25,000 committed), and incur a total of CAD$4 million ($500,000 committed) in exploration work over a 5-year period.Fieldwork field·work n. 1. A temporary military fortification erected in the field. 2. Work done or firsthand observations made in the field as opposed to that done or observed in a controlled environment. 3. should commence in a few weeks and Virginia will be the operator.Corvet Est is hosting two gold-bearing corridors, which could be traced over several hundreds of metres. Virginia is pleased to join with Placer Dome, one of the world's largest and most successful gold mining companies, to develop its Corvet Est property. Duncan Property Sale Virginia also announces the signing of a letter agreement with Augyva Mining Resources ("Augyva") pursuant to which Augyva acquires 100% interest in an iron-ore property called Lac Duncan in return for the issuance to Virginia of 1.5 million shares of Augyva and a payment of a perpetual production royalty in the amount representing CA$0.40 per ton of iron concentrate payable on a quarterly basis. Augyva will have a buyback right to purchase 50% (CA$0.20 per ton of concentrate) of such royalty for a total payment of CA$4 million and will be granted an additional option of buying back 20% (CA$0.08 per ton of concentrate) for an additional payment of CA$4 million. Furthermore, for any other metal than iron, Virginia will earn a 2% NSR NSR abbr. normal sinus rhythm NSR Normal sinus rhythm, see there Royalty.Augyva will have a buyback right to purchase 50% (1% NSR) in consideration of CA$5 million.Any additional resources of iron ore covered by any mineral titles, in an area of 1 kilometre surrounding de property, acquired before or after February 2005, is subject to the royalty. The letter agreement is subject to the approval of the regulatory authorities Noun 1. regulatory authority - a governmental agency that regulates businesses in the public interest regulatory agency administrative body, administrative unit - a unit with administrative responsibilities . Virginia Gold Mines Inc. is among the most active mining exploration companies in Quebec with a working capital of over $30 million, debt free, and with approximately 43 million shares issued and outstanding. Virginia's shares trade on the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. (TSX) under the symbol VIA. Virginia concentrates its activities on its numerous properties that are spread over the vast unexplored regions of northern Quebec. VIRGINIA GOLD MINES INC. (TSX:VIA) |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion