Huldra Silver Announces Entry Into Lead Silver Ore Purchase Agreement
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 04/26/12 -- Huldra Silver Inc. (TSX VENTURE: HDA) (the "Company" or "Huldra") is pleased to announce that it has entered into a Lead Silver Ore Purchase Agreement (the "Agreement") with a smelter whereby Huldra has agreed to sell approximately 35 to 40 tonnes of ore from the East Zone to the smelter in exchange for payment that is tied to monthly prices for lead and silver as published by the Metal Bulletin, less certain deductions. The approximate grade of the ore removed from surface in the East Zone last September was 66% Pb and 194 oz/ton Ag. Based on the terms of the Agreement and current market prices, the approximate total payment for contained lead and silver is expected to be between $200,000 and $250,000.
The East Zone is located approximately 800 metres east of the easternmost "C" vein exposure in the open cut above Level 1 of the Treasure Mountain mine and is in apparent proximity to the Mine Dyke (?) and Treasure Mountain Fault. A small open cut from surface was completed in September 2011 to follow up on the 2010 exploration program. A 7 metre wide and 7 metre high section of the vein was removed and machine and hand sorted into bags for shipment off site. The material was put through a portable concrete and gravel crusher to reduce the size to 1/4" and bagged for storage. There was no milling or concentration required for the material to be accepted as smelter grade. An additional 500 tonnes of material was bulk shipped from the East Zone to the Company's Merritt Mill site for further processing.
The Company also wishes to announce that it is currently conducting further metallurgical testing on the recently completed 10,000 tonne underground bulk sample. The purpose of this testing is two-fold. The first objective is to provide a representative sample of both lead silver and zinc silver concentrates to the smelter laboratory to enable the terms of a Long-Term Agreement to be completed. The second is to provide an additional sample of tailings material to the Company's engineering staff to determine if manganese can be recovered from the tailings using non-chemical methods. The metallurgical test work is being conducted at Inspectorate Exploration & Mining Services Ltd. of Richmond, BC an ISO 17025 accredited Laboratory.
Technical information in this news release has been reviewed and approved by Al Beaton, P.Eng., a Qualified Person as defined in NI 43-101. For more information see the Company's technical report entitled "Technical Report, Project Update, Treasure Mountain Property" dated June 15, 2011, available on SEDAR at www.sedar.com.
About Huldra
Huldra is currently working on plans to put its Treasure Mountain Project, located 3 hours east of Vancouver, BC, into development, subject to permitting and financing utilizing an offsite mill being constructed at the Company's property outside of Merritt, BC. The Company is also actively assessing other opportunities for acquisition and development.
On behalf of the Board of Directors
Ryan Sharp, MBA, President, CEO & Director
Disclaimer for Forward-Looking Information
This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events related to the Agreement, the Company's proposed exploration plans and its plans to put the Treasure Mountain Property into production. Such forward-looking information can include statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company, such as the Company's ability to produce ore sufficient to meet its obligations under the Agreement; the Company's ability to finance its planned exploration; the Company's ability to source the necessary infrastructure to effect its exploration plans; current economic conditions and the state of mineral exploration and mineral prices in general. These risks and uncertainties could cause actual results and the Company's plans and objectives to differ materially from those expressed in the forward-looking information. The Company can offer no assurance that its exploration and development plans will be completed in the time expected or at all. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. Except as required by law, the Company assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.
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Contacts:
Huldra Silver Inc.
Ryan Sharp, MBA
President, CEO & Director
604-647-0142
604-647-0143 (FAX)
ryan@huldrasilver.com / IR@huldrasilver.com
www.huldrasilver.com