Standard Gold Mines Plc
Standard Gold Mines Plc Acquires Brazilian Gold Mine
Standard Gold Mines PLC / Key word(s): Acquisition Standard Gold Mines Plc Acquires Brazilian Gold Mine April 14, 2011 … Standard Gold Mines Plc listed on the Frankfurt Stock Exchange, under the ticker symbol (H5L.F) today announced that it has acquired 100% of Mining Finance Limited and its wholly owned operating subsidiary, Sao Pedro Mines (U.K.) Limited including its 25 year mining concession, licenses and business. It holds the mining rights to a 600 hectare 'open pit' gold mine, San Pedro Mineracao LTDA, located in Paracatu, Minas Gerais, in Brazil. 'As a result of our activity with Mining Finance Limited, our venture associate and financier, we have purchased the Sao Pedro Mineracao LTDA gold mine ', noted Mr. Thele President, 'This purchase is the second in a series of contemplated acquisitions of precious metal mining properties by the company which is consistent with our corporate mandate to aggregate commercially viable mining assets globally'. On July 15, 2010 in Sao Paulo, a Statement Update and Confirmation Report of Sao Pedro Mineracao LTDA was prepared and executed which placed a Legal Asset Description of the then prevailing market value of the mine containing an estimated gold reserve of 300,000 kilos or 10.56 million oz. at approximately $12.8 Billion . Due to the report, the Brazilian government approved exploration of the ore body which now has a current market valuation of approximately $15 billion. 'With the purchase of the Sao Pedro Mineracao LTDA mine, Standard Gold Mines Plc is now positioned to access the international capital markets in order to float a bond offering of up to $100 million to finance current production requirements of its Annabelle mine located in Nevada, USA., Sao Pedro Mineracao LTDA mine, located in Minas Gerais, Brazil and other possible acquisitions', commented Mr. Thele. 'The company is currently in negotiations with a major German bank and other institutions in an effort to syndicate the bond offering as soon as possible'. About Standard Gold Mines: Standard Gold Mines Plc has a mandate to aggregate precious metal mining properties into a portfolio of profitable and commercially viable business assets. The properties sought are both current producing or former producing mines, located in economically favorable and politically stable jurisdictions, with existing attractive mining codes. As a result, funding procurement from capital markets will be focused on precious metals production. Safe Harbor Statement: The statements contained in this Press Release that are not historical may contain forward looking statements that could involve a number of risks and uncertainties. Actual events or results could differ materially from the company's expectations and projections. Contact Us: please visit our website at www.standardgoldmines.com End of Corporate News 15.04.2011 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
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