SPOKANE, WASH., November 9 /CNW/ - Mines Management, Inc. (AMEX: MGN)
(TSX:MGT) is pleased to announce that it has acquired a net profits royalty
("NPR") held by former investors in the Montanore Silver-Copper Project in
northwestern Montana. The 5% NPR was purchased from Montana Reserves Company
("MRC") of Spokane, Washington, for a payment of $500,000 in cash.
Mines Management's President and CEO, Mr. Glenn Dobbs, stated, "We are
pleased to conclude purchase of this royalty as yet another step in adding
value to the Company and our shareholders. Purchase of this NPR reduces
potential financial obligations, positively affecting the future value of the
The NPR previously entitled MRC to receive 5% of the profits generated
from mining operations after all exploration, development and certain mining
costs were recovered. In exchange, MRC has agreed to terminate their legal
action, originally filed on August 11, 2005, against Mines Management, Noranda
Minerals, and Normin Corporation, as previously reported in the Company's
filings with the Securities and Exchange Commission.
Mines Management is a U.S. based mineral exploration company focused on
the acquisition, exploration, and advancement of silver dominant mineral
projects. The company's primary focus is currently on the advancement of the
Montanore Silver-Copper Project located in the United States. The Montanore is
currently undergoing an advanced stage evaluation program to support a
bankable feasibility study and permitting process.
Statements Regarding Forward-Looking Information: Some statements
contained in this press release are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 and other
applicable securities laws. Investors are cautioned that forward-looking
statements are inherently uncertain and involve risks and uncertainties that
could cause actual results to differ materially, including comments regarding
the use of proceeds from the offering. Actual results may differ materially
from those presented. Factors that could cause results to differ materially
include fluctuations in silver and copper prices. Mines Management, Inc.
assumes no obligation to update this information. There can be no assurance
that future developments affecting Mines Management, Inc. will be those
anticipated by management. Please refer to the discussion of risk factors in
the Company's Form 10-K for the year ended December 31, 2006, as amended.
For further information:
For further information: Mines Management, Inc. Douglas Dobbs, Vice
President of Corporate Development 509-838-6050 firstname.lastname@example.org