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IMMC SIGNS OPTION AND
JOINT VENTURE AGREEMENT WITH FIRST MEXICAN RESOURCES ON MEXICAN PROPERTIES
North Vancouver
– July 16, 2007 - International Millennium Mining Corp.’s
(“IMMC” or the “Company”) 100% wholly owned
subsidiary Minera Internacional Milenio S.A. de C.V. (MIMSA) has entered
into an Option and Joint Venture Agreement with First Mexican Resources
Inc. (“First Mex”) of Toronto, Ontario, granting First Mex the
right to elect to acquire 60% interest in some and 40% interest in other
mineral concessions in Sonora State, Mexico.
In consideration of the expenditure
by First Mex of one million US dollars (US$1,000,000) in accordance with
the terms of the Option Agreement, First Mex acquires the exclusive and
irrevocable right and option to elect, based on an alternating
right-of-election formula set out in the Agreement, to acquire sixty or
forty percent undivided interests in and to the Hilda 30 and La Esperanza
properties presently held under agreements by MIMSA, and in any other
property acquired by MIMSA or First Mex within a defined area of interest
in Sonora State.
First Mex agrees to expend an
aggregate total of US$1,000,000 on any one or more of the Mexican
properties as follows:
a) US$175,000 on or before December
31, 2007;
b) US$175,000 on or before August 31, 2008;
c) US$275,000 on or before August 31, 2009; and
d) US$375,000 on or before August 31, 2010.
Upon completion of the expenditures
and acquisition by the parties of respective interests in the properties,
all subsequent expenditures for exploration or development of each property
are to be carried out on a joint venture basis.
About the Mexican
Properties
James G. Burns, BSc., PEng., a qualified
person, pursuant to NI 43-101, describes the Mexican properties in the
summary of his Technical Report for the Hilda 30 and La Esperanza
Concessions, Sonora State, Mexican properties (a copy of which was filed
July 20, 2005, and can be found at www.sedar.com), as follows:
“The Hilda 30 concession and
La Esperanza concession are both located in Sonora State, Mexico. The
properties lie about 190 km ESE of Hermosillo, the state capital, and
approximately 50 km west from the town of Yecora. There is road access
onto both properties.
The properties are underlain by
Cretaceous to Tertiary age andesite and rhyolite volcanic rocks that are
part of the Sierra Madre Occidental province which is host to numerous
epithermal gold/silver mines and mineral occurrences. Near the properties
the volcanic rocks have been intruded by a monzonite porphyry pluton. At
least 14 gold-silver mineral occurrences are spatially related to this
pluton which suggests that the pluton may have been the heat source for the
mineralizing fluids.
In the past both properties have
been extensively prospected. In 1910, a 27 m shaft was sunk on the Hilda
30 concession to access a 30 - 50 cm tetrahedrite vein. More recently, a
short incline shaft was excavated to access the same vein and two declines
were commenced also targeting similar vein structures. At La Esperanza
concession the remains of an earthen kiln and slag pile, and a 20 m long
adit are evidence of past exploration efforts. There is nothing, such as
cut lines, drill hole sites, or other evidence, to indicate either property
was ever systematically explored.
At least one mineral occurrence
exists on both properties. On Hilda 30 a 40 m wide breccia zone with a
quartz stockwork exposed in a road cut averages 2.8 g/t gold and 228 g/t
silver. This zone lies above the shaft area and appears to strike towards
it. At Esperanza a silica-argillite alteration zone has been traced for 600
m. One tetrahedrite vein is known within this alteration zone and the
presence of others suspected. Assays for grab samples collected within the
alteration zone are weakly to strongly anomalous for gold and silver. The
style of mineralization on both properties is consistent with the model for
epithermal precious metal deposits.
The Hilda 30 and Esperanza
properties are prospective as potential settings for epithermal economic
gold-silver deposits. Favourable factors include:
• Both the Hilda 30 and la
Esperanza properties are underlain by favourable Cretaceous-Tertiary
volcanic stratigraphy that within the Sierra Madre Occidental province are
host to numerous gold-silver mines and occurrences.
• The monzonite intrusion
created numerous structural features have been mapped in the immediate
vicinity of the two properties. The structures act as channel ways for
mineralizing fluids which are pumped through the rock driven by the latent
heat from the intrusion. There are 14 known gold-silver occurrences
spatially related to the intrusion.
• There is at least one
mineral occurrence on each property. The indicated grade (2.8 g/t Au and
228 g/t Ag) over a +/- 40m width on the Hilda 30 is suggestive of the
potential for a bulk mineable deposit. The 600+ m alteration zone at
Esperanza is suggestive of a potential large mineralizing system.
• Neither property has been
systematically explored.”
A 2-Phase
exploration program comprising rock, stream sediment and soil sampling,
geological mapping, IP survey, satellite and air photo analysis and core
drilling is proposed as the next logical step to evaluate the properties.
First Mex has commenced exploration work on the Hilda 30 property.
About First Mexican
Resources Inc.
First Mexican Resources Inc. is a
mineral exploration company focused on creating significant shareholder
value by acquiring Gold and Silver exploration properties of merit in
Mexico, and proving up the resource potential to bring those properties
into production. The Company is also focused on appropriate strategic
acquisition of near term production assets.
About International
Millennium Mining Corp.
International Millennium
Mining Corp. is a mineral exploration and development company engaged in
the acquisition and exploration of mineral properties in Canada and the
Americas. To date the Company has acquired and is exploring mineral
properties in British Columbia and Ontario , Canada; Nevada, USA; and
Sonora State, Mexico. Emerging mineral targets include silver, gold,
cobalt, molybdenum, zinc, lead, nickel, copper and platinum group
metals.
ON BEHALF OF THE BOARD
“John A. Versfelt”
John A. Versfelt
President and CEO
Further information
about the Company can be found on SEDAR (www.sedar.com) or by contacting
Mr. John A. Versfelt, President & CEO of the Company or Mr. D. Alex
Caldwell, Corporate Secretary at 604-984-9907.
The Exchange has
not in any way passed upon the merits of this news release. This news
release may contain forward-looking statements including but not limited to
comments regarding the timing and content of upcoming work programs,
geological interpretations, potential mineral recovery processes and other
business transactions timing. Forward-looking statements address future
events and conditions and therefore, involve inherent risks and
uncertainties. Actual results may differ materially from those currently
anticipated in such statements.
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