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Major Hook-Up for Junior Miner as LOI Gets Signed (V.NGE)
Major Hook-Up for Junior Miner as LOI Gets Signed (V.NGE)
About this update from Urz3 Energy Corp.
[{"type":"text","content":"\nMajor Hook-Up for Junior Miner as LOI Gets Signed (V.NGE)\n\n\n Apr. 15, 2010 (Baystreet.ca) -- Demanding as it is to search for gold, sometimes it is necessary for one of the exploration companies in question to seek help in the quest, particularly if that partner has the financial means to make the process less difficult.Such was the route that Vancouver-based Nevada Exploration Inc. (TSX VENTURE:NGE) took when it joined forces in mid-April with Toronto-headquartered Northgate Minerals Corp. (TSX:NGX), signing a non-binding Letter of Intent ("LOI"), whereby Northgate may earn a joint venture interest in NGE's Awakening Gold Project.Under the terms of the LOI, Northgate will have the option to earn a 51% interest in the Property by funding $4.1 million U.S. in qualifying expenditures and paying $435,000 U.S. in cash over the next five years. If Northgate completes the initial 51% earn-in, Northgate may earn an additional 14%, for a total of 65%, by completing a feasibility report.NGE's Awakening property consists of 420 claims (approximately 34 square kilometrse) and is located 50 kilometres North-Northwest of Winnemucca, adjoining the north end of the Sleeper Mine. The Sleeper Mine produced 1.66 million ounces of gold and 2.3 million ounces of silver from 1986 through 1996, owned by X-Cal Resources Ltd. (TSX:XCL) which is planning to develop the property further.NGE, an exploration company focused on gold in Nevada, has developed proprietary groundwater chemistry exploration technology to explore for gold in Nevada's covered basins where traditional exploration techniques are challenged.Whereas much of the industry is focused on optioning, joint venturing, and re-examining the same properties that have been around for decades, NGE fancies itself the exception in that it is focused on advancing the previously unexplored targets identified by its Groundwater Chemistry Exploration Program. NGE has completed the first ever comprehensive survey of Nevada's groundwater focused on discovering new gold deposits, and has demonstrated that Nevada's gold deposits exhibit recognizable and measurable groundwater chemistry signatures.No doubt the cash payments from the larger NGX will help fill NGE's coffers, at least in the short term. Thanks in part to that reason, shares in the latter company sold like hotcakes the day of the...