Astral Begins Earn-In of 40% Interest in JJ Property
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 06/24/10 -- Astral Mining Corporation (TSX VENTURE: AA)(TSX VENTURE: AA.WT)(PINK SHEETS: AAMJF)(FRANKFURT: A7DA) ('Astral' or the 'Company') announces that it has issued 1,500,000 Astral shares to Kootenay Gold Inc. ('Kootenay') pursuant to the option agreement dated December 14th, 2009 between the Astral and Kootenay (the 'Option Agreement').
Under the Option Agreement, the Company has the right to earn a 100% interest in the Jumping Josephine property, located in British Columbia, Canada. Astral currently holds a 60% undivided interest in the Jumping Josephine property and Kootenay holds a 40% undivided interest. The 1,500,000 shares that have been issued to Kootenay are the first two tranches of shares to be issued under the terms of the Option Agreement
In order to earn the additional 40% interest in the Jumping Josephine property, the Company must:
-- Issue a total of 4.4 million Astral shares to Kootenay as follows:
-- 750,000 shares on final acceptance of the Option Agreement by the
TSX Venture Exchange (issued);
-- 750,000 shares on June 14, 2010 (issued);
-- one million shares on Dec. 14, 2010;
-- 1.5 million shares on June 14, 2011; and
-- 400,000 shares on commencement of commercial production;
-- Incur exploration expenditures on the Jumping Josephine property over
two years with $750,000 to be spent in the first year and $1.25 million
to be spent in the second year.
Kootenay will retain a 1% net smelter returns (NSR) royalty. There is no buyback option on the NSR royalty.
Astral
Astral Mining Corporation is a Canadian company engaged in the exploration and development of precious metal properties in North America. By focusing on exploration in mining-friendly districts, the Company minimizes the political and social risks encountered in many other parts of the world. With a new gold discovery at the Company's Jumping Josephine Gold Project in Southern British Columbia and an experienced technical team and seasoned management, Astral is poised to leverage this expertise into early exploration success. Further details on Astral Mining Corporation and its high-quality portfolio of exploration projects can be found at www.astralmining.com.
ON BEHALF OF THE BOARD
Mr. Manfred Kurschner, President & CEO
Astral Mining Corporation
Cautionary Note to US Investors: This news release may contain information about adjacent properties on which we have no right to explore or mine. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
Astral Shares Outstanding - 13,805,400
2010 Number 14
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 this release.
Contacts:
Astral Mining Corporation
Manfred Kurschner
President & CEO
604-641-1315
info@astralmining.com
www.astralmining.com