Please note that in c3056 transmitted last Tuesday December 7th, 2010, the title should have read "VISIBLE GOLD MINES OPTIONS 60 % OF CADILLAC MINING'S INTEREST IN CADILLAC BREAK GOLD PROJECT". Corrected copy follows:
VISIBLE GOLD MINES OPTIONS 60 % OF CADILLAC MINING'S INTEREST IN CADILLAC BREAK GOLD PROJECT
VANCOUVER and ROUYN-NORANDA, QC, Dec. 7 /CNW Telbec/ - Cadillac Mining Corporation (TSXV: CQX) and Visible Gold Mines Inc. (TSXV: VGD and Frankfurt: 3V4) are pleased to announce that they have entered into an option agreement (the "Option") pursuant to which Visible Gold Mines has acquired an exclusive option to earn a 60% interest in 217 of Cadillac Mining's 228 claims in its Break Project, covering approximately 7423 hectares, in Rouyn, Beauchastel and Dasserat Townships, west of Rouyn-Noranda, Quebec.
Under the Option, Visible Gold may earn a 60% undivided interest in the Break Project over a period of four years by completing aggregate exploration expenditures of $4.2 million, issuing an aggregate 500,000 common shares of Visible to Cadillac, and paying Cadillac a total of $100,000 cash. The initial payment of $25,000 cash and 100,000 common shares is due to Cadillac prior to the commencement of work. The balance of the payments to Cadillac are due in like annual installments. In addition, Visible Gold has irrevocably committed to expend $500,000 in the first year of the Option.
The properties comprising the Break Project were staked in 2002 by the founders of Cadillac Mining Corporation. Exploration to date has included a project-wide airborne geophysical survey, extensive lithogeochemical sampling, and diamond drilling. All of the claims comprising the Break Project are subject to a 1.5% net smelter return royalty on production greater than 100,000 ounces of gold, or its equivalent, in favor of the aforesaid Cadillac Mining founders and insiders. See map http://www.visiblegoldmines.com/images/property/1_CadillacMiningLocationMap.pdf
Martin Dallaire, President and CEO of Visible Gold Mines stated, " Cadillac Mining's professional team brought this project to a stage that is in line with Visible Gold Mine's business model; many ready-to-drill targets right on the prolific gold Cadillac Break and close to mining infrastructure. We will test those targets in the coming weeks and months."
Victor Erickson, President & CEO of Cadillac Mining Corp., commented, "We are pleased to enter into this relationship with Visible Gold, whose management have recognized the strategic value of Cadillac's extensive land position on the Break and in the Noranda Basin. Visible Gold's financial capacity and readiness to execute an aggressive exploration strategy in its own "backyard" will allow Cadillac to actively pursue precious metal targets researched over the past two years in the Great Basin of the USA."
Andre J. Audet, P.Eng., Vice-President - Exploration, Cadillac Mining Corporation, and Robert Sansfaçon, Geologist, Vice-President Exploration, Visible Gold Mines, fulfill the position of Qualified Person for Cadillac Mining Corporation and Visible Gold Mines Inc., respectively, as per National Instrument 43-101.
About Visible Gold Mines Inc.:
Visible Gold Mines is a corporation focused on gold in the prolific Abitibi Gold Belt in Canada. The Corporation has 41,194,929 common shares outstanding, no debt and cash liquidity of approximately $5 millions.
About Cadillac Mining:
Cadillac is a junior resource company focused on the acquisition, exploration and development of large-scale precious and base metal mineral properties in Canada and the western USA. Currently it has 25,094,828 shares outstanding.
Statements contained in this release that are not historical facts may be "forward-looking statements". Such statements are subject to risks and uncertainties and other factors which may cause actual developments or results or level of activity or performance to vary materially from those projected by Management.
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 the release.
For further information:
|Visible Gold Mines Inc.
Martin Dallaire, eng
President & Chief Executive Officer
Tel.: (819) 762-0609
Fax: (819) 762-0097
|Cadillac Mining Corporation
Victor Erickson, P.Eng.
President & CEO
Tel: (604) 684-7300