NEWS-Star Minerals Group Ltd. Corporate Update
CNSX : SUV OTCBB SUVRF
October 20, 2014 12:47 ET
Star Minerals Group Ltd. Corporate Update
SASKATOON, SASKATCHEWAN--(Marketwired - Oct. 20, 2014) - Star Minerals Group Ltd. (CSE:SUV) ("Star") announces further to the news release dated August 6, 2014, an update on the operations of its Casey - Snider placer gold project.
As at October 10th, 2014, Star has produced and sold 97oz of gold at the Casey-Snider operation through its wholly owned US subsidiary, Star Minerals Group U.S. LLC.
Delays in start-up and continuity of production has adversely affected the production rate and the corresponding cash flow from the operation to date. In response, Star's management team has made what it believes are the necessary improvements to increase production rates going forward. The changes made at the Casey-Snider operation were made by working closely with its operational staff on site in Drummond Montana to increase efficiency, significantly decrease costs and eliminate any further downtime. Star's Canadian management team would like to thank the efforts of its US staff on its dedication and hard work in identifying and eliminating the start-up challenges at the production site. This week, starting October 14th, will mark the first week of continued production at the maximum rates and Star expects substantially higher corresponding production until the end of the mining season sometime in late November, dependent on weather. We will start production again as early as possible in the spring of 2015 and will be targeting eight months of production for 2015.
Further to the operational update, Star announces that it has issued 1,000,000 common shares from treasury in lieu of $50,000.00 of debt in relation to the terms of the definitive agreement as outlined in Star's August 6th news release.
Star's President and CEO Jim Engdahl states "We are very pleased with the operational improvements that have been made which will allow the Casey-Snider placer gold operation to be successful in the future."
Star entered into a lease arrangement effective May 1, 2014 with the goal of putting into production a placer gold operation on the leased property. Star's objective was and is to produce cash flow to allow the company to move forward in developing its other assets related to strategic minerals in the energy world such as rare earths, graphite, lithium, cobalt, manganese and vanadium.
About Star Minerals Group Ltd.
Star is a diversified exploration stage company with a primary focus on strategic technology metals, and its advanced joint venture rare earth project Hoidas Lake. To advance exploration, the Company has leveraged the strength and experience of its management, board of directors and advisors to identify and acquire strategic investments that have the capability to generate cash flow with low capital expenditure costs.
The Company entered into a joint venture in an advanced rare earth project in Saskatchewan - Hoidas Lake. Star also holds a strategic gold exploration property in the Seabee gold mining district, diamond properties in the Fort a la Corne region as well as base metal and uranium properties.
STAR TRADES ON THE CSE UNDER THE SYMBOL "SUV".
For more information, please visit our website at www.starminerals.ca.
Forward Looking Statements
This news release contains certain statements which constitute forward-looking statements or information ("forward-looking statements. Such forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond Star's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, competition from other industry participants, stock market volatility and the ability to access sufficient capital from internal and external sources. Although Star believes that the expectations in its forward-looking statements are reasonable, they are based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward looking information. As such, readers are cautioned not to place undue reliance on the forward looking information, as no assurance can be provided as to future results, levels of activity or achievements. Other factors that could materially affect such forward-looking statements are described in the risk factors in the most recent management's discussion and analysis that is available on the Company's profile on SEDAR at www.sedar.com. Readers are cautioned that the foregoing list of factors is not exhaustive. The forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, Star does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. This cautionary statement expressly qualifies the forward-looking statements contained in this document.
Star Minerals Group Ltd.