COEUR D’ALENE, Idaho, Feb. 12, 2008 (PRIME NEWSWIRE) -- Timberline Resources Corporation (OTCBB:TBLC) today provided an update on the progress of its anticipated acquisition of Small Mine Development, LLC ("SMD"). On December 5, 2007, Timberline announced the signing of a non-binding Letter of Intent to acquire SMD, one of the largest underground mine contractors in the United States. Ron Guill, the founder, owner, and general manager of SMD, joined the Timberline Board of Directors in November 2007.
Timberline Executive Chairman John Swallow stated, "While the acquisition process has taken longer than expected, we are proceeding toward a definitive Purchase Agreement. The original terms of the deal remain essentially unchanged and our working relationship with Ron and his team is excellent. This transaction requires shareholder approval and upon receipt of shareholder approval and closing, the SMD acquisition is expected to quadruple our revenue and provide us with the critical mass to be a significant player in the North American mining services industry. We firmly believe in the future of mining and mineral exploration and that our strong presence in mining services is likely to provide excellent returns to our shareholders over the long term."
SMD is a 25 year-old privately-held company with over 300 employees and approximately $100 million in annual revenues. It has risen to a position of industry leadership through a lean, flexible management style, empowering on-site operational teams to execute important decisions with significant autonomy.
Timberline also reported that they are continuing with the application process with the American Stock Exchange.
Timberline Resources Corporation is a unique, growth-oriented company that combines positive cash flow from its mine services division with "blue sky" upside from its mineral exploration division. Timberline common stock is quoted on the OTC Bulletin Board under the symbol "TBLC."
Statements contained herein that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the Company's expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. When used herein, the words "anticipate," "believe," "estimate," "plan," "intend" and "expect" and similar expressions, as they relate to Timberline Resources Corporation, or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company's actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, such factors, including risk factors, discussed in the Company's Annual Report on Form 10-KSB for the year ended September 30, 2007. Except as required by the Federal Securities law, the Company does not undertake any obligation to release publicly any revisions to any forward-looking statements.