VANCOUVER, April 20 /CNW/ - The Company (MIDASCO CAPITAL CORP. - TSX-V Symbol MGC) has entered into a definitive agreement with two private Colombian
individuals (the "Titleholders") to purchase 100% interest in seven (7)
mineral licenses covering approximately 10,878 hectares in the southern
portion of the State of Bolivar, Colombia.
Southern Bolivar is located on the Serrania de San Lucas, the northern
foothills of the Cordillera Central of Colombia and has geological
continuity with the mining districts of north-eastern Antioquia.
Southern Bolivar is recognized as an important mining district, with
more than 10,000 mines and artisanal operations.
Several active mines are mining on mineralized structures that are known
to continue onto several of the licenses to be held by the Company. The
area surrounding these licenses has an extensive history of vein-type
as well as alluvial gold mining. No systematic exploration has ever
been carried out over the area.
Under the purchase agreement the Company is required to pay the
Titleholders the sum of US$351,354 under the following schedule:
the sum of US$175,677 upon registration of 100% rights to the titles in
the name of the Company and registered under the National Mining
the sum of US$175,677 one year following the date of execution of this
The Titleholders will also receive a US$12 per ounce royalty on measured
ounces of gold as determined under a bankable feasibility study in
accordance with National Instrument 43-101.
The payment of the above is conditional upon the Company's satisfactory
negotiations with the government to satisfy the surface canons due and
payable on the licenses and the effective transfer and registration of
the mining licenses in the name of the Company with the National Mining
Register. The Titleholders have executed a Power of Attorney in favour
of the Company's lawyer Alianza W.J. Ltd. of Medellin to effect the
transfer of titles.
We seek safe harbour.
"Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release."
SOURCE Midasco Capital Corp.
For further information:
Dustin Elford, President (604) 669-2901