OAKLAND PARK, Fla., July 9, 2007 (PRIME NEWSWIRE) -- The new Chairman of Tung Ding Resources Inc. (Pink Sheets:TGDR), Mr. Zhou Zhi Bin, announced today that the Company has signed a definitive agreement to acquire the controlling interest in a substantive multi-mineral property in China containing recoverable gold, silver, copper, lead and zinc.
The acquisition will be paid for through the issuance of common stock of TGDR. The agreement gives TGDR 70% ownership of Jin Xian Zhen Ding Mining Corp., a Chinese Joint Venture Company. The Joint Venture is between Z&W Zhen Ding Inc., a wholly owned subsidiary of TGDR and Xinzhou Gold Co. Ltd., a private mining company located in Anhui Province, China. The JV partners had contributed, to date, $1.6 million (USD) to form the venture and Xinzhou Gold transferred 100% ownership of their mining project, the Wuxi Gold Project, to the Joint Venture company.
Mr. Zhou Qing, a newly appointed director and major shareholder of the Company, upon concurring with the signing of the acquisition agreement noted, "This acquisition is a first step to the JV becoming a major mining entity in China."
Mr. Pak Yin Hay, President and CEO of TGDR stated, "The construction of the mine is on target and we are in the process of hiring a very experienced gold mine general manager and related personnel. Subject to timely financing we expect to commence gold production in about eight months."
Wuxi Gold/Silver & Multi-Mineral Project
The Wuxi gold mine is located in Jingxian County, in the southwest region of Anhui Province, China, in an area known to have previous gold discoveries, on a concession covering approximately 35 sq. km. Much exploration has been done on a small portion of the property and the information available includes a mining feasibility study on the exploration data collected to date. The Company has engaged a "Qualified" geologist to review this information and produce a 43-101 type report.
Going forward, the JV plans to start construction of the mine and oversee production and continuous exploration on the property to add to the proven reserves.
Safe Harbor
Certain statements contained herein are "forward-looking" statements (as such term is defined in the Private Securities Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.