Jun. 3, 2009 (TheNewswire.ca) --
Golden Arrow Resources Corporation (GRG - TSXV)("Golden Arrow" or the "Company") announces that it has entered into a binding property transfer agreement to acquire (the "Acquisition") from Panthera Exploration Inc. (OTCBB:PNXLF) (TSXV:PNX) ("Panthera") four Peruvian property concessions and the remaining 51% interest in the Mogote property not already held by the Company (collectively, the "Properties").
Prior to the Acquisition, the Company's operation in Peru has been limited to advancing the re-entry to the Rio Tabaconas gold project. This property is located in one of the most prolific metallogenic trends in Peru that includes the Condor deposit (Kinross Gold - formerly Aurelian), Alto Chicama (Barrick Gold Corp.), and La Granja (Rio Tinto), all deposits which are at or near production. On the basis of the initial drill results of the Rio Tabaconas project, the Company established an operating subsidiary in Peru. The acquisition of these prospective projects, which includes the Cocha copper-silver property (see www.ameraresources.com), provides further economies of scale for Golden Arrow's Peruvian operations.
According to the terms of the property transfer agreement, the Company will purchase the Properties from Panthera in consideration for a US$150,000 cash payment and the grant of a 1% net smelter returns royalty to Panthera (one half of which may be purchased by Golden Arrow for US$1,000,000). Golden Arrow will assume all of the ongoing property maintenance requirements of the Properties. This transaction is subject to regulatory approval, including the approval of the TSX Venture Exchange.
Golden Arrow's management team is one of the most experienced in the field today. The Company is focused in Argentina and Peru in highly prospective mining regions with several drill ready projects including Portrerillos and Rio de las Taguas, located adjacent to Barrick Gold Corp.'s (NYSE:ABX) (TSX:ABX) Pascua Lama project that is moving into production. With the Company's management and technical teams it is well positioned for continued growth.
ON BEHALF OF THE BOARD
Mr. Joseph Grosso, President & C.E.O.
For further information please contact Joseph Grosso, President & CEO, or Corporate Communications at 1-800-901-0058.
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.
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.
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