SPOKANE, WASHINGTON--(Marketwire
- Nov. 9, 2007) - Matthew Russell, President of Azteca
Gold Corp. (TSX VENTURE:AZG) (the "Company") announces that the
Company has, through its wholly owned Mexican subsidiary, entered into an
arms-length agreement (the "Agreement") of transfer of
ownership of the Santa Matilde Mineral
Concessions (the "Matilde
Concessions") located on and surrounding the town of Santa Matilde, Chihuahua about 20 kilometers
to the southwest of the regional mining town of Temoris,
Chihuahua. The Agreement remains subject to the approval of the TSX
Venture Exchange, regulatory approval, and formal registration of the
Agreement by Mexican authorities. The Company's flagship exploration
project Guerra al Tirano is located nearby, 9 kilometers
to the northwest of Temoris. The Matilde Concessions stretch approximately 7.5 kilometers
north to south and cover approximately 2,677 hectares,
and contain several historic workings.
This acquisition would see the Company make the
following option payments:
(a) US$ 250,000 was paid at the signing of the
Memorandum of Understanding
(b) US$ 200,000 on the signing of the formal
Option to Purchase
(c) US$ 300,00 no later than September 30, 2007
(d) US$ 750,000 no later than March 7, 2008
(e) US$ 1,000,000 no later than June 30, 2008
(f) US$ 2,000,000 no later than December 30,
2008
(g) US$ 2,500,000 to be paid no later than June
30, 2009
(h) US$ 3,000,000 to be paid no later than
December 30, 2009
In addition the Company will issue 1,500,000
shares now, which are subject to a 4 month hold period, and a further
3,500,000 shares upon successful completion of an exploration,
development and exploitation agreement with the local ejido
having jurisdiction over the Matilde
Concessions. The Vendors will receive a production royalty ranging from
US$10.00 to US$ 25.00 per ounce, depending on the then current price of
gold. The board will review the project prior to the June 30, 2008
payment being made, or at such earlier time as management may request.
The Company has received an independent report
compliant with NI 43-101 dated June 20, 2007 on the property from Edward
Brennan of Brisbane, Australia, which is available
on Sedar.
Driller selection is underway for diamond core
and reverse circulation drilling ("RC") for the Santa Matilde Project. The Company is targeting Q1 2008 to
begin drilling operations which are contingent on acceptance of an
exploration agreement with the local ejido. For
reference, an explanation of the ejido
agreement achieved for the Company's flagship exploration project, Guerra
al Tirano, is given in the Company's press
release of March 5, 2007.
For further information, please
contact:
Azteca Gold Corp.
Matthew Russell,
President
Telephone: 1-509-464-0172
Email: info@azteca-au.com
Website: www.azteca-au.com