Dagilev Capital and Lundin Mining Close Salave Gold Property Acquisitionadmin
Dagilev Capital Corp. announce that it has closed the acquisition of a 100% interest in the Salave Gold Deposit from Lundin Mining Corp. and other parties. TSX Venture Exchange has approved the Salave acquisition as Dagilev’s qualifying transaction.
The company also announces that it will be renamed Astur Gold Corp. subject to shareholder approval at the Annual General Meeting on May 31, 2010.
The Salave property is comprised of five mineral exploitation concessions covering an area of 433 hectares. The Salave property is 100% owned by Exploraciones Mineras del Cantábrico S.A (“EMC”) a Spanish company and now a wholly owned subsidiary of Dagilev. The property is subject to royalties due to a third party including a series of staged payments and a 5% net smelter return royalty on gold produced and sold when cumulative gold production exceeds 800,000 ozs. Dagilev may exercise an option to reduce the royalty from 5% to 2.5% by paying the royalty holder $5,000,000.
Dagilev engaged Scott Wilson Roscoe Postle Associates Inc. of Toronto, Ontario to complete an updated NI 43-101 technical report. Brian McEwen, P.Geol. is a qualified person under the definition in NI 43-101. Mr. McEwen completed a site visit in December 2009 and has reviewed the contents of this news release.
In August 2005, the Regional Government of Asturias halted open-pit project development of Salave due to the introduction of certain zoning legislation. Immediately after, legal proceedings were commenced by EMC against the government seeking reversal of the decision or monetary compensation. The legal proceedings are on-going.
Further details of the Company’s updated Salave 43-101 will be provided shortly.