Salt Lake City, Utah, July 2, 2008. Palladon Ventures Ltd. (TSX.V: PLL) (Frankfurt: PV-1) provides an update on progress at the Iron Mountain facility near Cedar City, Utah in anticipation of the start-up in the third quarter of 2008. Final construction of facilities and pre-production activities at the site are currently underway. As announced on June 27, 2008, Palladon has now acquired 100% of the project and has closed on financing more than adequate to fund all capital and operating costs to commence production of run-of-mine ore to fulfill the contract with China Kingdom, International ("CKI").
Palladon Iron Corporation has signed a 5-year contract with Gilbert Development Corp. to be the Company's contract miner on the Iron Mountain project. Gilbert will perform all mining duties at the site with the major elements including drilling, blasting, crushing, screening, hauling, blending, conveying and stacking and railcar loading, based on the mine plan developed to meet the contract. Palladon personnel will oversee Gilbert's operations and will conduct all operations for the mix of ores to be hauled to the stockpile, survey primary elevations of the benches, toe and crest limits for the mining pit, and percentage grade on all roads, based on permitting requirements.
The site is being prepared for the installation of the crushers, load-out facility and the stacker. The new stacker, a 42-inch-by-170-foot swing-axel radial telestacker conveyor, was received at site and will be installed in the next two weeks. This rotary stacker is capable of blending and storage of approximately 130,000 tons of material prior to loading on the trains. The stacker is portable and can easily be relocated within the Iron Mountain property.
Palladon Iron has signed a contract with GSL Electric to provide secondary power at the site. The high-voltage power will be provided through the newly-erected 138kVA transmission distribution line and reduced to 4160 volts in the newly-constructed 13 MW substation. Power distribution will be to the crushers, radial stacker, conveyors, load-out, and office facilities through step-down transformers. All power poles, wire and switches for the 138kVA line are installed and ready for power. All power should be operational by August 1, 2008.
"This has been a very exciting last few months with the signing of the long-term contract with CKI and buying out Luxor Capital Group's stake in the iron mine. Palladon now controls the entire project, has sufficient working capital, and is at a tremendous pace to begin shipping by Q3 of this year," said Donald G. Foot Jr., President and CEO of Palladon Ventures, Ltd.
On Behalf of the Board of Directors, Donald G. Foot, Jr. President and Chief Executive Officer
Palladon Ventures Ltd. is a junior resource company focused on building production facilities at the Comstock/Mountain Lion iron mine in Iron County, Utah. Palladon also holds gold exploration projects in Nevada, Utah and Argentina.
For Further Information Please Contact
Donald G. Foot Jr. President and CEO Palladon Ventures Ltd. 554 South 300 East, Suite 250 Salt Lake City UT 84111
801-521-5252 Tel 801-521-5454 Fax Email: firstname.lastname@example.org Web: www.palladonventures.com Web: www.ironbullmining.com