Pershing Gold Corporation (OTCBB:PGLC) announced today that it has signed an agreement with Victoria Gold Corp. (TSX-V:VIT) to acquire mining claims owned by Victoria’s subsidiary, Victoria Resources (US) Inc., as well as its interests in claims and leaseholds owned by Newmont USA Ltd. (NYSE:NEM) that were under lease or sublease.
Under the agreement, at closing, which is expected shortly, Pershing Gold will acquire Victoria’s interests adjacent to the Relief Canyon Mine area. These interests include Victoria’s rights under Victoria’s 2006 mining lease and sublease from Newmont. Pershing Gold will also acquire approximately 3,800 acres of mining claims that are not subject to the 2006 mining lease and subleases that are wholly-owned by Victoria. Victoria reserves a 2% net smelter return royalty from the production from these wholly-owned claims.
Stephen D. Alfers, Pershing Gold’s Executive Chairman, President and CEO, commented:
For the first time in several decades, the Relief Canyon Mining District has now been consolidated by Pershing Gold. The Relief Canyon Mine for many years has been landlocked, constraining previous owners’ efforts to develop the Relief Canyon deposit. This landmark acquisition eliminates property boundary concerns and allows Pershing Gold to explore and develop the entire Relief Canyon Mine and adjacent lands on the basis of geology – without limitations due to land ownership. The Company has been drilling at Relief Canyon for several months. We now plan to execute a step-out drill program for these newly acquired lands to significantly expand and upgrade the gold deposit at Relief Canyon. In addition, we plan to explore the lands recently acquired in the Pershing Pass area south of the mine. Our goal at this Pershing Pass project is to advance two targets to the drill ready-stage by year end.
Solid news, no doubts. Keep in mind that here is the big rumor on the street about Phillip Frost, the 188th richest man in the U.S. , investments into Pershing Gold. He did it once (see news from February 2012 ). Dr. Frost track record talks by itself – usually small company turns into something big with his funding.
What we could expect from Pershing Gold stock? Let market decides…
Pershing Gold Corporation
1658 Cole Blvd, Building 6
Lakewood, CO 80401
Pershing Gold Corporation (PGC) is a newly formed gold exploration and development company uniquely positioned to create shareholder value by capitalizing upon the record-high gold price, a near-term opportunity to put the Relief Canyon Mine back into production, opportunities to acquire exciting gold exploration properties with exceptional gold discovery opportunities in an under-explored part of Nevada – Pershing County.