Update:
Dear Shareholders:
We are presently negotiating with more than 12 major companies, some of the world’s largest, with sincere interest in developing our Alto de Lipangue properties in Chile. Many of these entities are co-sharing their proposals, reducing the number to 5 or so groupings.
While the negotiations continue, each of these entities, being public companies, has entered Confidentiality and Non-Disclosure Agreements with Medinah, not permitting us to reveal their identities or significant details at this point of time.
Each of the proposed Joint Venture companies has been provided “term sheets” for negotiating purposes. As well, we have also had discussions with “investment bankers” who have expressed an interest in funding Medinah by purchasing a percentage interest in our properties and Medinah would proceed with the development. We are encouraged and confident the company is closer to the fruition of these efforts than at any time in the past year. We cannot predict exactly a completion date.
During the past year, we have enhanced our property by the acquisition of key claim groups to the south of the Lipangue, extending to the high-grade moly/copper adits now accessible by the construction of the south roads. This area was not explored in previous programs. In the past, property examinations comprised day trips from Santiago to the Alto de Lipangue. Currently, these examinations now extend to several days because of travel distances. The professional geologists who have examined the copper/moly-expanded areas are extremely encouraged with the potential mineral extensions and the typical ”model” of development. At the same time, we have been fortunate to be able to tie in the Las dos Marias claims to the Alto de Lipangue that result in a contiguous property.
Last month, Medinah Gold, Inc. sent two geologists/technicians to the Madre de Dios area in southern Chile. After a 17-day examination and testing, they have recommended to Medinah Gold, Inc. a development program on two specific areas of interest. (Medinah Minerals, Inc. has earned a 9% interest in the project.) The neighbouring properties are proceeding to install a processing plant that should be fully operational in September, capable of treating approximately 300 cubic meters per hour of gold-bearing sands.
Each of the Officers and Directors of Medinah are working diligently to build Medinah into a viable and profitable mining company as quickly as possible with a working agreement that maximizes the potential of all the company’s assets.
Yours Respectfully,
Juan José Quijano Fernández
