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MEX Mexican Gold Mining Corp

0.085
0.00 (0.00%)
Last Updated: 14:30:07
Delayed by 15 minutes
Share Name Share Symbol Market Type
Mexican Gold Mining Corp TSXV:MEX TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0.085 0.085 0.105 0 14:30:07

Midlands Minerals to Generate Cash Flow From Sian-Ghana

26/05/2009 1:30pm

Marketwired Canada


Midlands Minerals Corporation ("Midlands" or the "Company")(TSX VENTURE:MEX) is
pleased to announce that in an overall strategy to generate cash flow, the
Company has entered into a contract with Gold Recovery (Ghana) Limited ("Gold
Recovery") to begin recovering gold from loaded carbon fines on the Sian
property in Ghana. Gold Recovery is a subsidiary of Goldplat Plc which is listed
on the London AIM Exchange. Sian is a fully permitted past open pit gold
producer with an existing CIL (Carbon in Leach) plant, a 30 year mining lease, a
400,000 ounce resource, and all the infrastructure in place.


"For a junior explorer to have the ability to generate cash flow, at this time,
is timely, given the current difficult market conditions", said Kim Harris,
President and Chief Executive Officer. As a strategy to generate immediate cash
flow, Midlands assayed loaded carbon from the existing ten CIL tanks and
conducted a survey of the tailings dumps on the Sian property in April 2009.


Approximately 400,000 tonnes of tailings were surveyed. The assay results from
the tailings confirmed the 93% gold recovery rate reported by Sian Goldfields
Limited, and provided Midlands with the good news that the existing CIL plant
was operating properly during Sian Goldfields mining operations. The tailings
assays also confirmed that there is an insignificant amount of refractory gold
in the ore that was processed between 2000 and 2003, and opens the possibility
of adding a gravity circuit to the existing plant.


Following initial encouraging assay results from the loaded carbon, Midlands
entered into discussions with Gold Recovery, who subsequently conducted a site
visit to Sian and took their own samples, the results of which led to Midlands
entering into contractual discussions with Gold Recovery. A contract between the
two parties has now been signed, and the re-bagging and preparation for shipping
of the loaded carbon has commenced. Midlands estimates approximately 100 tonnes
of carbon at this time, with the exact tonnage to be determined when all CIL
tanks are emptied, and the final weighing takes place.


Under the agreement with Gold Recovery, a charge of US$130 per wet tonne of
carbon received will apply and payments to Midlands will be computed as follows:


- For carbon assaying between 30 and 200 g/t gold, Midlands will receive 70% of
the agreed gold content;


- For carbon assaying more than 200g/t gold, Midlands will receive 80% of the
agreed gold content.


The agreed upon content means the final assay results, upon which, payments will
be based. These final samples are taken simultaneously by Midlands, Gold
Recovery, and by an 2 independent referee prior to processing. One sample is
kept in secure custody for purposes of due diligence.


The scientific and technical information contained in this press release has
been reviewed by Pierre Lalande, P.Geo., Midlands' Senior Geologist, who is a
Qualified Person within the meaning of National Instrument 43-101.


ABOUT GOLD RECOVERY

Goldplat Plc's, flagship operation, Goldplat Recovery (Pty) Ltd, operates in
South Africa, where it has built a reputation over more than 25 years as a
market leader with the ability to extract precious metals from numerous mining
waste products. Its technology provides an economic method for mines to dispose
of waste materials while at the same time adhering to their environmental
obligations.


To diversify, a new plant has been built in Tema, Ghana, to service Africa's
second largest gold producer as well as those mines in Guinea and Mali. The
parent company, GoldPlat plc is an AIM listed company.


ABOUT MIDLANDS MINERALS

Midlands is a growth oriented and value based gold exploration company operating
in Ghana and Tanzania, two stable countries with a history of gold mining.
Midlands' top priority project is the fully permitted Sian gold project in
Ghana. The Sian property contains Esaase and Ampeha, two previously producing
open pit mines with a resource with significant growth potential. Midlands'
contiguous Kwahu Praso project, which was once part of Sian, contains extensions
of the Esaase and Ampeha trends. Sian and Praso are just 30 kilometers northeast
of Newmont Mining's +8.7 million Akyem gold deposit.


The Company has a highly qualified management and technical team with extensive
experience in the countries in which the Company operates. For more information
on the Company, please visit Midlands' Web Site at www.midlandsminerals.com.


On behalf of the Board

Kim Harris, President and Chief Executive Officer

Certain statements contained in this news release constitute forward-looking
statements. Such forward-looking statements involve a number of known and
unknown risks, uncertainties and other factors, which may cause the actual
results, performance or achievements of the company to be materially different
from actual results and achievements expressed or implied by such
forward-looking statements. Forward-looking statements consist of statements
that are not purely historical, including any statements regarding beliefs,
plans, expectations or intentions regarding the future. No assurance can be
given that any of the events anticipated by the forward-looking statements will
occur or, if they do occur, what benefits the Company will obtain from them.
These forward-looking statements reflect management's current views and are
based on certain expectations, estimates and assumptions which may prove to be
incorrect.


The Company adds a cautionary statement to the effect that the potential
quantity and grades referred to in its press releases are conceptual in nature.
There has been sufficient exploration to evaluate a mineral resource. However,
the Company is uncertain if further exploration will result in a mineral
reserve. Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date the statements were
made. Readers are also advised to consider such forward looking statements while
considering the risks inherent in the business of mineral exploration. For more
information, investors should review the Company's filings that are available at
www.sedar.com.


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