Latest Corporate Summary from 9/15/07:
StarGold Mines Inc. is a U.S.-based, publicly-traded gold mining company
which holds rights to develop and extract natural resources. On August 27,
2007 StarGold Mines completed the acquisition of 100% of UniverCompany
LLC, a Russian Limited Liability Company.
UniverCompany’s principal mining assets consist of rights to the
"Nerchinskie" minerals & metals deposit, which StarGold believes contains
significant amounts of gold and silver, and approximately 17% of the
"Karalon" deposit, which has both precious metals and other scare resources
such as copper, lead and tin.
The company’s efforts are concentrated on the exploration and exploitation of
placer and ore deposits using advanced methods of processing and extraction.
These deposits consist of precious metals (gold, silver) and scarce resources
(copper, lead, tin, scandium, etc.).
Investment Highlights
�� Providing investment and acquisition opportunities in Russia and Eastern
Europe, with the aim of developing a portfolio of natural resource
opportunities attractive to Western investors.
�� The company aims to setup and develop a multi-product, competitive
enterprise to extract natural resources.
�� StarGold plans to extract and process standard and other technogenic
formations on the earth’s surface, develop gold and rare earth deposits
using state of the art extraction and recovery technologies.
�� StarGold anticipates the enlargement of reserves due to exportation as well
as attracting Russian and foreign investment into the projects.
Russian Gold Mining Industry
Gold extraction is one of the leading sectors
of the Russian economy.
�� Russia holds 7-8 percent of the world’s
gold reserves, ranking third in the world
after South Africa and the United States.
�� Following the 1995 liberalization of the
Russian precious metals market, demand
for Russian gold has grown sharply.
�� Russian gold production costs are
typically, $136-$200 per ounce, significantly
less than the world average of $235 per
ounce (Source: Russia Gold Magazine)
“Karalon”
StarGold has the rights to approximately 17% of the "Karalon" deposit, which the
Company believes has both precious metals and other scare resources such as copper,
lead and tin. Under an agreement dated December 2006, UniverCompany has the
option to acquire the remaining 80% of the Karalon deposit in return for a payment of
$2.8 million USD.
Deposit District Reserves of
C1,C2 tons
Average Grade of
gold, gm/tons
Karalon (Gold) Buryat 4 13.8
Karalon (Silver) Buryat 2.5 8.4
“Nerchinskie Rudnik”
StarGold Mines engages in the development and extraction of natural resources
from the “Nerchinskie” minerals & metals deposit located in the Soyuz
cooperative association of prospectors in the Chita region. StarGold currently
has the rights to 133,271 tons of the deposit and plans to acquire the balance
for the purchase price of approximately $26 million USD. Below is metal
content and market prices as of January 2006 for the deposit.
Facility Reserves
dradge
(tons)
valuable
components
(tons)
Metals prices as of
01.01.2006,
usd/ton
Value of valuable
components in
refuse, mln. usd
OJSC
Nerchinskiye
Rudnik
254,906 Pb – 70,912
Zn – 113,133
Ag – 158
Au – 21.49
Bi – 62.6
Cd – 478.6
Sb – 4,569
Ga – 37.9
In – 45.282
Sn – 6,250
Cu – 8,256
1,598
4,554
13.44 / troy oz.
637.5 / troy oz.
15 / kg.
1.55 / lb.
5,400
400 / kg.
900 / kg.
10,200
7,038
113.317
515.207
68.28
440.509
0.939
1.635
24.67
15.16
40.753
63.75
58.18
TOTAL: 1342.4
