|January 05, 2011|
Tosca to acquire the Secret Pass Gold Property in Arizona
|Tosca Mining Corporation (TSQ.V) (TQ4.FSE), reports today that it has signed an option to purchase up to a 100% equity interest in the Secret Pass Gold Property, located in Mojave County, northern Arizona. The property is subject to a 2% NSR. The property consists of 81 BLM claims totaling 1620 acres (656 hectares) and one contiguous State Prospecting Permit totaling 525 acres (212 hectares).|
Secret Pass is located approximately 90 km southeast of Las Vegas, 24 km west of Kingman, Arizona and 16 km north of Oatman, a two million ounce gold camp developed in Tertiary epithermal veins.
Previous work on the Secret Pass property was carried out by Santa Fe Pacific Gold Corporation between 1981 and 1986 and by Fisher-Watt/International Prospector between 1987 and 1991. The work was largely confined to two mineralized zones (Tin Cup and FM) occurring within a regional shear zone that cuts Precambrian granitoids and Tertiary volcanics. Historical drilling by those two Companies encountered broad zones of shearing and alteration containing variable amounts of gold-bearing quartz stockworks.
In addition to the two zones with identified gold mineralization, previous regional geochemical and geophysical work on the Secret Pass property outlined several follow-up targets. However, due to declining gold prices through the 1990's, no further work was undertaken on this property.
The total purchase price of the Secret Pass property is US$ 6,100,000 payable in escalating installments over a five year period. First year payments will total $100,000 and a further payment of $750,000 is due on February 5,2012. In addition, for every 100,000 ounces of gold reserves attributed to the property in a NI 43-101 compliant report, the Company shall issue 500,000 of its common shares to the Seller up to a maximum of 2,500,000 shares.
Tosca Mining Corporation will have a forty-five day period for initial due diligence commencing on January 1, 2011.
Tosca is now undertaking a full review and compilation of all historical exploration and drilling data on Secret Pass, which will be followed by the preparation of an NI 43-101 compliant technical report. The acquisition of the property is subject to the approval of the TSX Venture Exchange.
The Company also announces that it has dropped its interest in the Swift Katie property in British Columbia and the Apache property in the Municipality of Trincheras, in Sonora, Mexico.
The Company also announces that it has set an additional 760,000 stock options for directors and consultants. The options are exercisable at a price of $0.27 and have a term of 3 years.
Dr. Luca Riccio Ph.D. P.Geo is the Qualified Person responsible for reviewing the technical results reported in this release.
On Behalf of the board of directors,
Ron Shenton, President
For further information, please visit the company's website at www.toscamining.com or call 604-687-6562. Email email@example.com
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. Tosca Mining Corp. relies upon litigation protection for forward looking statements.
The TSX Venture Exchange (TSX Venture) has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents of this news release, which has been prepared by management.
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