CARSON CITY, Nev., Sept. 18, 2012 (GLOBE NEWSWIRE) -- Del Toro Silver Corp. (OTCBB:DTOR) ("Del Toro" or the "Company") is pleased to announce that, on August 31, 2012, the Company entered into a Partial Purchase Option Agreement with Natchez Pass LLC to acquire up to a 67.5% interest in the Natchez Pass Gold Property (formerly known as the "Nick" mine) located in Pershing County, Nevada ("Property").
The mine is located near Barber Canyon, approximately 5 miles south of the historic Dun Glen Mining district, and consists of 25 lode and 8 placer mining claims (all unpatented) encompassing a total of 660 acres. The Property exhibits good potential for both lode and placer gold deposits with over 2500 feet of underground workings and a past history of hard rock and placer production.
The mine is fully permitted for production mining, with all necessary water rights, environmental approvals and a reclamation bond posted. Existing infrastructure at the site includes a 400-yard-per-hour placer processing plant, 3 lined recirculation ponds, a 50,000 gallon water storage tank, and a 2 bedroom house and mine office.
In order to earn the option, over a five year period the Company is required to pay $4,005,000, as follows: payments to Natchez Pass LLC; certain repayments on behalf of Natchez Pass LLC; and certain amounts for work on the Property. The Company must also issue up to 5,000,000 restricted shares of common stock to Natchez Pass LLC. If the Company fully exercises its option to earn a 67.5% interest, the Company then has the right to earn up to an additional 7.5% interest at the price of $150,000 per point.
Del Toro has a 60-day due diligence period, with two 60-day extensions available. During this period the Company plans to conduct a bulk sampling program to evaluate the placer potential and develop a mining plan to determine operational feasibility.
Del Toro president Greg Painter states, "We are excited about completing the acquisition option of the Natchez Pass Gold Property, as it perfectly fits our corporate strategy of acquiring mines with the capability for cost effective, near term production. The mine is located in eastern Nevada near some of the largest and most profitable gold mines in the United States. We plan to commence our due diligence work plan immediately and, upon its satisfactory completion, close as quickly as possible on the option."
About Del Toro Silver Corp.
Del Toro Silver Corp. is a precious metals exploration and development company based in Carson City, Nevada. Under new management since September 2011, Del Toro's corporate strategy is to focus on the acquisition and development of high grade, near term production gold properties in California and elsewhere in the Western United States. Management believes that this promising niche market offers many opportunities that have been largely ignored or overlooked by competing junior gold companies.
For further information, please contact Greg Painter at 775-782-3999.
On behalf of the Board of directors,
"Patrick A. Fagen"
Director
Notice Regarding Forward-Looking Statements:
This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this news release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the successful completion of due diligence, the completion of the bulk sampling program and a mining plan on the Property, the satisfaction of any of the conditions under the Option Agreement, the existence of commercially viable deposits on the Property, or any future production that may be achieved.
Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the 2011 fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.