Business
Wolfden to acquire Lupin Gold Mine from Kinross
Wolfden to acquire Lupin Gold Mine from Kinross.
About this update from Kinross Gold Corporation
[{"type":"text","content":"\n\n\n\n\nShares Issued: 61,127,878\n\nTHUNDER BAY, ON, Feb. 24 /CNW/ - WOLFDEN RESOURCES INC. (TSX:WLF)\n(\"Wolfden\") is pleased to announce that it has signed a letter of intent with\nNROSS GOLD CORPORATION (TSX:K; NYSE:KGC) (\"Kinross\") to acquire the Lupin\nGold Mine, located in Nunavut, Canada. The Lupin Gold Mine is located\napproximately 80km East of the Izok Deposit, and approximately 35km East of\nthe Gondor Deposit, both of which are to be acquired from Inmet Mining\nCorporation (see Press Release Feb. 14, 2006).\nWolfden will acquire a 100% interest in the Lupin Gold Mine from Kinross,\nwhereby Wolfden, subject to completion of due diligence, will acquire the\nProject which includes a fully operational mine, tailings facility, camp and\nrunway and all liabilities associated with the project, saving that Kinross is\nresponsible for completion of current reclamation work on the tailings.\nKinross will make certain payments to Wolfden with respect to the mill and\ncamp at Lupin. Since 1982, the Lupin Gold Mine has produced more than 3\nMillion ounces of gold at an average grade of +9g/t Au.\nWolfden will immediately assess the potential for further near-term\nproduction. The primary planned use of Lupin however, is for the processing of\nore from the Izok, Hood and Gondor deposits, and potentially from the Ulu gold\ndeposit where Wolfden will be performing underground drilling and drifting on\nmineralized zones in 2006. The acquisition of Lupin is expected to\nsignificantly lower capital costs associated with developing these deposits.\nWolfden recently signed a letter of intent to acquire the Izok, Hood and\nGondor (70% interest) Projects from Inmet. Izok, Hood, Gondor and Lupin are\nlocated in the Slave Region of Nunavut, approximately 200km south of Wolfden's\n100% owned High Lake and Ulu deposits. It is expected that port facilities at\nthe Coronation Gulf proximal to High Lake, and an associated road network,\nwill be used to access all deposits.\n\"The acquisition of Lupin provides significant infrastructure which can\nbe used to develop the Izok Project, one of the highest grade undeveloped base\nmetal deposits in the world\" stated Ewan Downie, President of Wolfden. \"There\nis additional potential for gold production from Lupin, as most mined zones\nremain open at depth, and several remain open up-dip\".\n\nPr...