Mr. J. Duane Poliquin reports
ALMADEX OPTIONS DAVIS AND PARADISE VALLEY PROPERTIES IN NEVADA TO MAKARA MINING CORP.
Almadex Minerals Ltd. has optioned 60 per cent of its Davis project and the adjoining Paradise Valley project to Makara Mining Corp.
Under the terms of the agreement, the optionee can acquire a 60-per-cent interest in the project by:
Paying Almadex $25,000 (U.S.) on the effective date of the agreement and assuming all underlying obligations in relation to the project;
Incurring not less than an aggregate $250,000 (U.S.) in exploration expenditures on or before the first anniversary date, and incurring not less than an aggregate of $250,000 (U.S.) in exploration expenditures on or before each successive anniversary date and not less than an aggregate $3.5-million (U.S.) in exploration on or before the fifth anniversary date;
Issuing to Almadex an aggregate of 3.5 million common shares over the five-year option period.
Upon completion of the 60-per-cent earn-in, Almadex and the optionee have agreed to form a 40/60 joint venture for the purpose of carrying out further exploration work on the project with optionee as operator and straight line dilution in the event of failure to participate in work programs. If either party's participating interest falls below 10 per cent, their interest will be converted into a 2-per-cent net smelter return royalty.
J. Duane Poliquin, chairman of Almadex, stated, "We have been accumulating mineral rights in the area of this project for several years, and with this large cohesive and prospective package now in place we are excited to work with Makara to advance the exploration programs."
About Almadex Minerals Ltd.
Almadex Minerals is an exploration company that holds a large mineral portfolio consisting of projects and NSR royalties in Canada, the United States and Mexico. This portfolio is the direct result of over 35 years of prospecting and deal-making by Almadex's management team. The company owns a number of portable diamond drill rigs, enabling it to conduct cost-effective first pass exploration drilling in house.
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