TORONTO, Aug. 4, 2015 /CNW/ - Anaconda Mining Inc.
("Anaconda" or the "Company") – (TSX: ANX) is pleased to report
that, effective July 25, 2015, the
Company entered into an option agreement with Seaside Realty Ltd.
("Seaside") to acquire a 100% undivided interest in the Corkscrew
gold property ("Corkscrew"), consisting of a 346.4-hectare mining
lease contiguous to Anaconda's Point Rousse Project on the Ming's
Bight Peninsula in the Baie Verte Mining District, Newfoundland and Labrador (See Exhibit A).
Corkscrew, which includes five gold occurrences, is located
within the Goldenville Trend on the Ming's Bight Peninsula.
Corkscrew is a 3.5-kilometre section of this trend immediately west
of the portion of the Goldenville Trend already controlled by
Anaconda. The Goldenville Trend contains a prospective ironstone
formation, a type of rock known to host gold deposits in other
parts of the Baie Verte Mining District.
"The agreement with Seaside nearly doubles Anaconda's land
position within the Goldenville Trend for a total strike length of
approximately eight kilometres and gives Anaconda full control of
this highly prospective group of rocks. Further, Anaconda now
effectively controls all areas of interest within the Point Rousse
Project," states Anaconda President and CEO, Dustin Angelo. "Our business plan includes
discovery and development of a source of high-grade gold which will
be blended with the existing baseload feed at the Pine Cove Mill.
The Goldenville Trend, now including Corkscrew, has the greatest
potential to host high-grade deposits, as proven elsewhere within
the Baie Verte Mining District."
To keep the options for Corkscrew in good standing, Anaconda is
required to make aggregate payments to Seaside of $75,000 ($25,000
paid at closing) over a two-year period. Any future gold production
from Corkscrew will be subject to a 2% net smelter royalty, capped
at $2,000,000.
Anaconda is currently assessing and integrating all of
Corkscrew's historical drilling and exploration data. The
Company will perform field mapping of critical areas this summer
and, based on the results of the assessment and mapping, will
develop an exploration plan to build on historic results.
ABOUT ANACONDA
Headquartered in Toronto,
Canada, Anaconda is a growth oriented, gold mining and
exploration company with a producing project, called the Point
Rousse Project, and approximately 6,000 hectares of exploration
property on the Ming's Bight Peninsula located in the Baie Verte
Mining District in Newfoundland,
Canada. Since 2012, Anaconda has increased its property
control by nine-fold. It is currently exploring three primary,
prospective gold trends, which have approximately 20 kilometres of
cumulative strike length and include four deposits and numerous
prospects and showings, all within 8 kilometres of the Pine Cove
mill. The Company's plan is to discover and develop more
resources within the project area and double annual production from
its current rate of approximately 15,000 ounces to 30,000
ounces.
This news release has been reviewed and considered accurate
by Paul McNeill, P. Geo., VP
Exploration with Anaconda Mining Inc., a "Qualified Person", under
National Instrument 43-101 Standard for Disclosure for Mineral
Projects.
FORWARD LOOKING STATEMENTS
This document contains or refers to forward-looking
information. Such forward-looking information includes, among other
things, statements regarding growth and is based on current
expectations and assumptions of management that involve a number of
business risks and uncertainties. Factors that could cause actual
results to differ materially from any forward-looking statements
include, but are not limited to: the expectations of the Company in
expanding mineral resources and project mine life and the timing
thereof, current and future market trends and growth opportunities
and whether the Company will be able to capitalize upon them.
Forward-looking statements may include words such as "plans,"
"may," "estimates," "expects," "indicates," "targeting,"
"potential" and similar expressions. These forward-looking
statements are based on current expectations and are subject to
significant risks and uncertainties, including the risks factors
outlined in the Company's latest annual information form and other
continuous disclosure documents filed at www.sedar.com, and other
factors that could cause actual results to differ materially from
expected results. Readers should not place undue reliance on
forward-looking statements. These forward-looking statements are
made as of the date hereof and the Company assumes no
responsibility to update them or revise them to reflect new events
or circumstances, except as required by law.
SOURCE Anaconda Mining Inc.