Astur Gold Annual General Meeting Results and Letter to Shareholders
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 07/25/12 -- Astur Gold Corp. (TSX VENTURE: AST)(FRANKFURT: CDC) ("Astur Gold" or the "Company") is pleased to announce the re-election of Joshua Crumb, Douglas Turnbull, Sean Roosen and Cary Pinkowski as Directors of the company at its annual general meeting. The Honourable John D. Reynolds has resigned his position as director and will join Astur Gold's advisory board. Astur Gold thanks him for his contribution and service as a Director of the Company.
Shareholder Update from President & CEO Cary Pinkowski
Astur Gold is committed to generating shareholder value and contends what has happened in the equity markets is not an accurate reflection of the progress and momentum in the permitting process for our Salave gold deposit. We believe this political-economic environment is attractive for gold mine developers with high quality assets who will work with their communities to create jobs and build sustainable operations. Our vision is to continue positioning the company prudently; from our opportunistic acquisition of Salave just before the European crisis and gold price revaluation, to our well-timed pursuit of cash flow that ultimately led to a C$2.5 million break fee paid to Astur Gold.
Global headlines lately have been dominated by news from Spain. The crisis is having a direct and measurable impact on the Asturian economy resulting in record unemployment among youth and focusing attention on the need for greater job opportunities and job security in the region. Spanish Prime Minister Mariano Rajoy recently announced the elimination of 63% of subsidies for regional coal mines, without which the mines will close. While industry continues to contract in Asturias, Astur Gold remains committed to investing in the region and the Salave gold project remains among the largest private job creation opportunities in the Principality.
Astur Gold started the mine permitting process in July of 2011. Meetings are ongoing with the regional government following delays in the transfer of administrative power that resulted following 2 elections within 16 months. Our technical team relocated from Oviedo to work directly in the village of Tapia, decreasing costs and consolidating 100% of our Spanish team in the community where the deposit is located. Our commitment is to hire as many local employees as possible.
We have experienced a groundswell of support starting with the NGO group Trabajo Ya, Mina Si ("Yes to Work, Yes to the Mine") with over 2,000 members in support of the Salave gold project. We are also experiencing a torrent of C.V. submissions, which now number close to 7,000.
Roberto Hartasanchez, President of the Environmental Organization FAPAS with over 17,000 members stated in May, "Astur Gold's underground plan has increasing support and is fully compatible with environmental values of the region." This sentiment was further reiterated by the President of the Association of Mining Engineers, Mr. Juan Jose Fernandez Diaz, who stated last week, "This project should be known, supported and valued by all citizens."
The Past Year's Highlights
July 2011: Astur Gold Submits Initial Documentation for Environmental Impact Assessment at Salave
August 2011: Astur Gold Expands Salave Concessions by Over 600%
October 2011: Astur Gold Submits Salave Project Application
December 2011: Astur Gold Granted First Permit at Salave Gold Project
December 2011: Astur Gold and Gold-Ore Resources Announce $150 Million Merger
January 2012: Astur Gold Announces EIA Advanced to Next Phase
February 2012: Astur Gold Terminates Merger Agreement and Accepts $2.5 Million Break Fee
February 2012: Astur Gold Appoints Mike Surratt as Interim Chief Operating Officer
March 2012: Astur Gold Enters into Joint Venture with Silver Swan for La Codosera Property
April 2012: Astur Gold Secures Key Surface Rights for Salave Portal and Outlines Exploration Plans
May 2012: Astur Gold Submits Environmental Impact Assessment
May 2012: Astur Gold Granted New Mining Rights Extending Salave Concessions
June 2012: Astur Gold Partners with a Leading Environmental NGO for Salave Development
July 2012: Astur Gold Completes Public Consultation Period on Salave EIA
We have over C$2.1 million in the treasury with a current burn rate of approximately C$150,000 per month with a strategic focus on moving the permitting process forward.
Salave is known as one of the highest value gold assets in Western Europe. As development dollars become scarce, projects such as Salave that require relatively modest capital expenditures to reach production represent superior prospects for return on shareholder equity.
We continue to be very bullish on gold and believe that current geopolitical developments positively support the investment thesis for gold. We believe gold will continue to appreciate against paper currencies, which are backed by governments and central banks that profess currency devaluation, and inflating away unsustainable debts as the primary path to recovery. Astur Gold is well positioned to take advantage of a strong gold market going forward.
In closing, I wish to recognize our dedicated employees in Spain, advisors, NGOs, business partners, and Board of Directors for their ongoing commitment and active support. We look forward to hearing from you, our dedicated shareholders. Please feel free to contact me anytime.
ON BEHALF OF THE BOARD
Cary Pinkowski, Chief Executive Officer, President and Director
Mineral resources that are not mineral reserves do not have demonstrated economic viability.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the Company's control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or expectation implied by these forward looking statements.
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:
Astur Gold Corporation
Vadim Dubchak
604-694-1600
info@asturgold.com
www.asturgold.com