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Thursday, 12th February 2009 (1374 views)

Mountain Lake Resources has announced that it has optioned the remaining 70 per cent interest in the Valentine Lake project from Richmont Mines, giving the firm 100 per cent ownership of the prospect.

According to Mountain Lake, the deal will enable the company to boost its exploration activities in the region and potentially expand its resources.

Under the agreement, Mountain Lake, which currently owns a 30 per cent interest in the Valentine Lake gold property in central Newfoundland, is granted an option to purchase Richmont's interest in the project.

Mountain Lake has agreed to pay Richmont an option fee of 2,500,000 common shares and the firm may exercise the option over a five-year period by making additional payments and incurring exploration and development expenditures on Valentine Lake.

Gary Woods, Mountain Lake president and chief executive, commented: "The potential for new discoveries and resource expansion at Valentine Lake is excellent and the project can now receive the aggressive level of exploration it deserves."

A diversified junior mining and exploration company, Mountain Lake Resources owns a 30 per cent interest in the Valentine Lake gold project, a 100 per cent interest in the Bobby's Pond base metal project and an option to earn a 100 per cent interest in the Little River gold exploration property in Newfoundland.

 

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