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MINVEN GOLD TO ACQUIRE UNITED COIN MINES LIMITED INTEREST IN GOLDEN REWARD

 MINVEN GOLD TO ACQUIRE UNITED COIN MINES LIMITED
 INTEREST IN GOLDEN REWARD
 DENVER, March 4 /PRNewswire/ -- MinVen Gold Corp. (AMEX; Toronto: MVG) of Denver and United Coin Mines Ltd. (Toronto: UCM) of Toronto, Ontario today jointly announced that a letter of intent was signed to establish terms under which MinVen or a subsidiary will acquire from United Coin and its subsidiaries their entire remaining interest in the assets of Golden Reward Mining Joint Venture. Located near Lead, S.D., Golden Reward is expected to produce approximately 65,000 ounces of gold in 1992.
 In exchange for the Golden Reward assets, MinVen will assume United Coin's share of Golden Reward obligations approximating US $10 million; pay various secured and preferred debt obligations of United Coin and its subsidiaries approximating Cdn. $7 million; and pay into the treasury of United Coin an additional US $1.25 million and 1.5 million MinVen common shares to be used for general corporate purposes, including settlement with United Coin's unsecured creditors. Under the terms of a proposed Arrangement Agreement, MinVen will also issue directly to United Coin shareholders, 3 million MinVen common shares, each share with a warrant to purchase an additional MinVen common share at a price of US $.75 exercisable for two years.
 The transaction described above will be made as a proposal to United Coin creditors and shareholders, whose approvals are required, under the Companies' Creditors Arrangement Act (Canada). The transaction is also subject to the receipt of required stock exchange approvals.
 Prior to signing the letter of intent, MinVen funded certain past obligations of Golden Reward. In consideration of such funding and MinVen's agreement to waive any United Coin defaults under the Golden Reward mining venture agreement, MinVen's interest in Golden Reward has been adjusted from 33 1/3 percent to 54 percent of the entire interest with United Coin and its subsidiaries retaining, collectively, the remaining 46 percent of Golden Reward. The adjustment is effective as of Feb. 19, 1992. Representation on the management committee of Golden Reward has been changed to reflect the adjusted ownership interests.
 MinVen Gold is a Denver-based mining company with a 100 percent interest in two gold mines and joint venture interests in another two, all of which are active gold producers. The company's shares are traded on the American, Toronto and Vancouver Stock Exchanges under the symbol "MVG."
 United Coin Mines is a Toronto-based mining company whose principal asset is its interest in Golden Reward. The company's shares are traded on the Toronto Stock Exchange under the symbol "UCM."
 -0- 3/4/92
 /CONTACT: Alan R. Bell or Robert R. Gilmore both of MinVen Gold, 303-980-5615; or Thomas Skimming, 416-598-2990 or Bruno Vatri, 416-625-9424, both of United Coin Mines/
 (MVG) CO: MinVen Gold Corp.; United Coin Mines Ltd. ST: Colorado IN: MNG SU: TNM


TS -- DV006 -- 4916 03/04/92 11:25 EST
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Publication:PR Newswire
Date:Mar 4, 1992
Words:479
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