Cabia Goldhills Inc. Announces the Start of the Drilling on the Mejia Property and the Acquisition of an Adjacent Mining Conc...
January 16 2013 - 9:22AM
Marketwired Canada
Cabia Goldhills Inc. ("Cabia") (TSX VENTURE:CGH) is pleased to announce that the
first drill hole of its current exploration program has been initiated on the
Mejia Property. The drilling program will be testing different recognized
mineralized trends as well as geophysical and geochemical anomalies. In
addition, certain areas will be tested to better understand de porphyry style
mineralization model.
In addition, Cabia announces that it has entered into a binding agreement to
acquire an additional mining concession of more than 3,975 hectares located
immediately to the south of its 100% owned Mejia Property, in the San Lucas gold
belt of the Bolivar Department, Colombia. The concession, to be known as the
Mejia South Property is situated in the municipalities of Barranco de Loba and
San Martin de Loba and Rio Viejo.
This new property increases the flexibility of our exploration and development
activities within the immediate area of our Mejia Project. A series of veins
have been encountered on the Mejia South Property, having similar strike
directions than those encountered at the four artisanal mines adjacent to the
Mejia Property, namely La Gloria Mine, El Fogaje Mine, Los Romanes Mine and El
Turco Mine (the "Mejia Mines").
"We are delighted to have been able to add to our already sizable land position
in this highly sought after gold district. Cabia now controls about 11,000
hectare of mining concessions, including several artisanal mines, which gives us
one of the largest position in the San Lucas Gold Belt" stated Michel Delisle,
President and CEO of CABIA.
Pursuant to the agreement, Cabia will conduct a 2,000 meter drilling program on
the Mejia South Property over a period of two years. Upon the registration of
the final transfer of title to the properties and the completion of a NI 43-101
compliant report, Cabia will pay to the owners an amount of US$15 for each ounce
of gold reserves encountered on the Mejia South Property. In addition, Cabia
will pay a royalty corresponding to 15 % of the net profits or, at the choice of
the owner, a 2% NSR. Cabia can return the property to the current owner at all
times and without further obligations if it does not discover sufficient
reserves which can be exploited economically.
Cabia's Mejia Project is a 6,946 ha mineral concession located close to sea
level and outside any environmentally restricted areas in the San Lucas gold
district in the Sur de Bolivar region of the Department of Bolivar, Colombia.
The San Lucas gold district is an under explored area where intense artisanal
mining is present, including the Mejia Mines, as described in Cabia's NI-43-101
report on the Mejia Project available on the company's SEDAR profile at
http://www.sedar.com.
About Cabia Goldhills Inc.
www.cabiagoldhills.com
Cabia Goldhills is a TSX-V listed junior exploration company focused upon the
exploration and development of gold projects in Colombia. Cabia currently has
less than 39 million shares outstanding.
Prospective Statements, Quality Control and Assurance:
Statements in this press release contain forward-looking information within the
meaning of applicable securities law. Forward-looking information is frequently
characterized by words such as "plan", "expect", "project", "intend", "believe",
"anticipate", "estimate" and other similar words, or statements that certain
events or conditions "may" or "will" occur. Readers are cautioned that
assumptions used in the preparation of forward-looking information may prove to
be incorrect. Although we believe that the expectations reflected in the
forward-looking information are reasonable, there can be no assurance that such
expectations will prove to be correct. We cannot guarantee future results, level
of activity, performance or achievements. Consequently, there is no
representation that the actual results achieved will be the same, in whole or in
part, as those set out in the forward-looking information. There is no guarantee
that the acquisition of the Mejia Mines will be completed.
Forward-looking information is based on the opinions and estimates of management
at the date the statements are made, and are subject to a variety of risks and
uncertainties and other factors (many of which are beyond the control of Cabia)
that could cause actual events or results to differ materially from those
anticipated in the forward-looking information. Some of the risks and other
factors could cause results to differ materially from those expressed in the
forward-looking information include, but are not limited to: stock market
volatility, access to capital, commodity prices and general economic conditions.
Industry related risks could include, but are not limited to: operational risks
in exploration, development and production; delays or changes in plans;
competition for and/or inability to retain other services; competition for,
among other things, capital, acquisitions of reserves, undeveloped lands,
skilled personnel and supplies; risks associated to the uncertainty of reserve
estimates; governmental regulation, including environmental regulation;
geological, technical, drilling and processing problems and other difficulties
in producing reserves; the uncertainty of estimates and projections of costs and
expenses; incorrect assessments of the value of acquisitions; the need to obtain
required approvals from regulatory authorities and other factors. Readers are
cautioned that this list of risk factors should not be construed as exhaustive.
The forward-looking information contained in this news release is expressly
qualified by this cautionary statement. Cabia does not undertake any obligation
to update or revise any forward-looking statements to conform such information
to actual results or to changes in expectations except as otherwise required by
applicable securities legislation. Readers are cautioned not to place undue
reliance on forward-looking information.
FOR FURTHER INFORMATION PLEASE CONTACT:
Cabia Goldhills Inc.
Mr. Maurice Montpetit
Vice President, Business Development
(514) 237-0645
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