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Financing for Salamandra Purchase |
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JANUARY 23, 2003, Prior to completion of their merger, Alamos Minerals Ltd.
("Alamos") and National Gold Corporation ("National")
announce they have arranged financing with H. Morgan & Company in
connection with the purchase of the Salamandra Gold Property. The Salamandra Property has seen US $30 million in development and was the subject of a feasibility study to mine 2.2 million ounces of gold in the Mulatos Deposit. At the time the study was completed the project economics were marginal with gold at less than $300 per ounce. A scoping study completed by Pincock, Allen and Holt (PAH) in September 2002 focused on a higher grade portion of the deposit know as the Estrella Zone containing 1.8 million ounces of gold. PAH concluded that with a gold price of $300 per ounce the Estrella Zone could be mined profitably and generate an Internal Rate of Return of 19.3%. The project is currently the subject of an engineering evaluation to determine the effect of higher gold prices on future development plans. |
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James M. McDonald, President , Alamos Minerals Ltd.,
Nerio V. Cervantes. T:(604) 643-1787 |
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