Apr 21, 2008 (BUSINESS WIRE) -- Hunt Gold Corporation (PINKSHEETS: HGLC) confirms that it has acquired two additional Gold Properties known as the "American Molygold Group".
These acquisitions were approved by Fortress Financial Group, Inc. "Fortress" (FFGO.PK). Fortress held circa 48% of Hunt Gold Corporation, prior to these acquisitions. Hunt Gold Corporation has paid a multi million dollar settlement to Fortress. Fortress has agreed to drop its intentions to bid for Hunt Gold Corporation, has voted to approve these acquisitions and now holds circa 15% of the enlarged outstanding shares of Hunt Gold Corporation. Fortress will now treat its investment in Hunt Gold Corporation as a "passive investment" in its portfolio.
American Molygold has two mining projects. These properties combine two very attractive commodities, gold and molybdenum ("moly") which have enjoyed surging prices in recent years. There is a world-wide market for both commodities. While the primary exploration focus will be on gold, molybdenum will also be important as demand for moly is tied to demand for steel used in the petroleum industry (e.g. drill pipe, pipeline construction), which will benefit from accelerated petroleum exploration and development in an era of high oil prices.
The properties are as follows:
1. American Molygold. The American Molygold property is in the Cherry Mining District in Yavapai County, Arizona. This 1,900 acre property includes the two major historic gold producing mines in the district, Monarch and Logan, as well as a probable resource of 150,000 tons and an inferred resource of 5,000,000 tons, based on work by the prior owner, Alanco. It is a preCambrian deposit in a Bradshaw Granite intrusion into Yavapai Schist, located along the Verde Fault. There is a large, partially stripped gold - bearing zone of alteration with veinlets of copper and molybdenum mineralization that has been interpreted as being the outer layer or shell of porphyry copper / moly mineralization on the eastern portion of the claims. The vein systems may warrant underground development and there is potential for an open pit low gold content target with associated moly and base metals production.
2. Rochester Molygold. The Rochester Molygold property is in the Rabbit Mining District in Madison County, Montana. approximately 30 miles from Butte and comprises approximately 2,250 acres. The project includes a majority of the former FMC Gold project, which reported an 850,000 ounce gold resource. It also includes the former US Steel moly project. This is also a preCambrian deposit with the gold found in well defined veins that strike north or northeast and dip steeply west, usually associated with granite dikes. Additionally, there are placer gold workings along Rochester Creek, and a possible method of mining would use water from dewatering the underground workings for placer mining downstream. The moly is found in a preCambrian quartz monzonite stock , which is altered to a greisens - like vuggy aggregate of muscovite, quartz, and clots and disseminated grains of pyrite and molybdenite, as well as quartz veins containing same.
ABOUT HUNT GOLD CORPORATION
Hunt Gold Corporation is a Gold Mining & Exploration Company focused on the development and exploration of its properties, namely "Mockingbird", "Ambassador", "Golden Eagle", "American Molygold" and "Rochester Molygold".
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a companies' annual report on Form 10-K or 10-KSB and other filings made by such company with the SEC.
SOURCE: Hunt Gold Corporation
