BURLINGTON, ON, March 17 /CNW/ - Silver Shield Resources (SSR-TSXV) announces that it has signed the final Option and Joint Venture Agreement, whereby The Company and a private company, Mhakari Gold, will each acquire 50% of four groups of mining claims strategically located in the West Timmins Mining Camp. A Joint Venture will be formed to explore the properties. A total of 17 mining claim units will be acquired in Ogden, Mountjoy, Denton and Carscallen Townships.
The two Companies will pay a total of One Hundred and Seventy Thousand dollars ($170,000) over a two-year period to each acquire a 50-per-cent interest in the property. Payment will be made as 50% in cash and 50% in shares or $ 42,500 each in cash and 710,000 shares each. In the first year of the agreement Silver Shield will-pay $ 21,250 and issue 355,000 shares. The Vendors will retain a royalty of 2 % of NSR that the Silver Shield and Mhakari JV has the right to purchase 1% of at any time, for $1,000,000.
The Company is particularly pleased with one claim unit in Denton Township that is immediately adjacent to the group where Nebu Resources was recently reported to have commenced drilling. The Ogden and Mountjoy claims are about 3 km east of the Company's Ogden property on a direct line to the heart of the Timmins Camp in an under-explored area, where preliminary soil geochemistry has reported gold occurrences. The Carscallen Township Property is to the west of the area being explored by Melkior Resources and SanGold.
Mhakari Gold Corp. is a private Ontario based gold and silver exploration company with gold and silver properties located in Northern Ontario and Nevada. Mhakari's gold and silver properties are located in the Timmins, Kirkland Lake, Matachawan and Pickle Lake in Northern Ontario and on Mineral Ridge, Walker Lane district Nevada. All properties are near or adjacent to historic gold/silver producers, and are exposed to excellent infrastructure, with all year accessibility.
The Company continues to review other properties in the West Timmins Area, and expects to complete additional acquisitions in the near future.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
SOURCE Silver Shield Resources Corp.
For further information: For further information: please visit www.silvershieldresources.com or contact: Tim D. Towers, President and CEO, Tel: (289) 337-6162, Email: firstname.lastname@example.org