Unico, Inc. Announces Recording of Quitclaim Deed and Water Rights Deed to Complete Deer Trail Mine Purchase
Unico, Incorporated (OTCBB: UCOI), a natural resource company in the precious metals mining sector, today announced that the quitclaim deed and the water rights deed for the purchase of the Deer Trail Mine in Marysvale, Utah has been recorded with the county recorder’s office in Piute County, Utah and ownership of the property has been fully conveyed from Crown Mines LLC to Unico’s wholly owned subsidiary, the Deer Trail Mining Company, LLC.
With all appropriate documents executed and recorded and the purchase of the property completed, Unico is expected to book the Deer Trail Mine property as a $4 million asset of its future quarterly and annual financial reports.
Under the mining lease and option to purchase agreement, Deer Trail Mining Company, LLC had the right to acquire the mining claims located in Marysvale, Utah, which consist of 32 patented mining claims and 170 unpatented mining claims, as well as mill sites, dumps and other transferable rights contained in the agreement. Included in the agreements executed between Deer Trail Mining Company and Crown Mines were the transfer of specified water rights to Deer Trail Mining Company and the retention of a portion of those rights by Crown Mines.
The claims covered in the purchase agreement total approximately 3,275 acres, or 5.12 square miles, and include workings known as the Deer Trail Mine, the PTH Tunnel and the Carisa and Lucky Boy Mines. The PTH Tunnel penetrates more than 10,000 feet, with a developed network of tunnels, shafts, stopes, and raises at the 3,400-foot-area and at the 8,000-foot-area, and was mined by prior owners for gold and silver. The initial Deer Trail claims date back to 1870.
To fully exercise the purchase option of the lease, the final payment of $1,700,000 was paid on July 30, 2007 and applied directly to the $4,000,000 purchase price of the Deer Trail Mine lease and option to purchase. In early September 2004, Unico made a payment of $1,000,000 to Crown Mines, and an additional $1,000,000 in subsequent payments since November 1, 2006, plus an additional $300,000 was paid on April 30, 2007.
The mining lease and option to purchase between Unico, Inc. and Crown Mines, LLC, dated December 12, 2001, was adjusted through a first modification of mining lease and option to purchase, dated May 31, 2004, a second modification of mining lease and option to purchase, dated April 21, 2006, a third modification of mining lease and option to purchase, dated November 1, 2006, a fourth modified lease and option to purchase agreement dated April 26, 2007, and a fifth modified lease and option to purchase agreement dated June 29, 2007. A final due date of July 31, 2007 for Unico, Inc. to exercise its purchase option was announced in a mutual agreement by both parties in July 2007.
“The recording of the quitclaim deed and the water rights deed signals the full conveyance of ownership of the Deer Trail Mine property to the Deer Trail Mining Company,” commented Mark A. Lopez, chief executive officer of Unico, Inc. “This final step ensures that ownership is properly recorded with Piute County, Utah, and we are very pleased to have the entire process completed.”
“Our focus will continue to be the anticipated start-up of operations at the Deer Trail Mine, including the completion of reconstruction at the mill and processing facility. Having secured this property as a long-term asset of the company makes this ongoing work even more significant. In the coming weeks, we expect to provide additional updates for our shareholders describing our progress at the Deer Trail Mine property,” added Mr. Lopez.
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About Unico, Inc.
Unico, Inc. (OTCBB: UCOI) is a publicly traded natural resource company in the precious metals mining sector that is focused on the exploration, development and production of gold, silver, lead, zinc, and copper concentrates at its three mine properties: the Deer Trail Mine, the Bromide Basin Mine and the Silver Bell Mine. The company has also announced agreements to acquire over 70 additional mining claims. For more information, please visit www.unicomining.com.
Forward-Looking Statements
This news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and such Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are subject to risks and uncertainties that could cause actual results to vary materially from those projected in the forward-looking statements. The company may experience significant fluctuations in operating results due to a number of economic, competitive and other factors. These factors could cause operation results to vary significantly from those in prior periods, and those projected in forward-looking statements. Information with respect to these factors, which could materially affect the company and its operations, are included on certain forms the company files with the Securities and Exchange Commission.
Contacts: Gemini Financial Communications, Inc. A. Beyer 951-677-8073 Email Contact OTC Financial Network Rick McCaffrey 781-444-6100, x625 Email Contactwww.otcfn.com/ucoi
SOURCE: Unico, Inc.