Uranium Hunter Corporation Enters into LOI with St. Watson Mining Company of Sierra Leone
LAS VEGAS, Feb. 12, 2013 /PRNewswire/ — Uranium Hunter Corporation (OTC Pink: URHN) has announced it has signed a Letter Of Intent with St. Watson Mining Company Sierra Leone, Ltd. (SWMC or St. Watson) to joint venture with them on their gold concessions in Sierra Leone. SWMC is a private owner/operator resource and mining group with offices in Florida, USA and Freetown, Sierra Leone, West Africa.
St. Watson’s core focus is on the exploration, acquisition, development and exploitation of small to medium sized resource locations. The company’s strategic bull’s eye approach of project assessment is the results of the CEO Brad Saint John’s 20+ years’ experience in Africa in the technical field and President Michale Watson’s over 20 years’ experience in global Logistics and Management including a previous career as a decorated officer in the US Navy.
The concessions are located in the Sewafe area in the District of Kono. Kono District is a resource-rich district in the Eastern Province of Sierra Leone. Its capital and largest city is Koidu Town. The other major towns in the district include Motema, Yengema, Tombodu, Jaiama-Nimokoro and Sewafe. The district is the largest diamond producer in Sierra Leone. The population of Kono District is 352,328. Kono District borders Kenema District to the southwest, The Republic of Guinea to the east, Koinadugu District to the northeast and Kailahun District to the southeast.
The concessions currently have all permits, fees, environmental approvals and exploitation license required by the government in place. The concession land is government owned and leased to St. Watson for 33 years. The government and Chiefdoms receive 30% of net recovery as a royalty.
It is estimated that the concession will produce in excess of 20,000 ounces per year of gold. With the price of gold currently trading around $1,650.00 per ounce, the joint venture has the potential to reach or exceed $33,000,000.00 in gross revenues.
The government of Sierra Leone, as course of granting the exploitation license, validates the economic feasibility of concessions by conducting broad based independent geological surveys. Their sampling of the SWMC River concession reports grade levels at 2.87 g/m3. of gold. At today’s fuel and labor rates, production costs are estimated to be approximately $300.00 per ounce for gold production.
The estimated labor force, once fully operational, will be comprised of approximately 250 local laborers and 4 ex-pats. St. Watson has been engaged in developing the River concessions for almost 4 years and has secured all of the necessary rights, licenses, permits, and geological reports. All work has been self-funded and there is no debt.
Operations, once funded, are estimated to be at test production levels in 60 days and full industrial level production at 90 days. Recovered gold will be graded and smelted at a secure facility, after which, sold to pre-established refineries, there will be Government of Sierra Leone tax payments and payouts to land owners after all sales have been concluded.
About St. Watson Mining Company
St. Watson Mining Company, Inc. was formed in July of 2008 as a mining company with a focus on Diamond & Gold mining. St. Watson manages and operates mines that are owned by St. Watson, along with performing operator services for other mine owners. St. Watson Mining Company uses advanced technologies to locate and extract, resulting in highly profitable mining operations. St. Watson currently has offices in Mali & Sierra Leone, West Africa, and in the United States of America. St. Watson Mining has active mining operations in the Sikasso District of Mali, West Africa and the Kenema & Kono Districts of Sierra Leone, West Africa.
About Uranium Hunter Corporation
Uranium Hunter (OTCBB: URHN) through its wholly owned subsidiary Cuyuni Mining mission is to build a fully-integrated uranium gold, precious metals and gemstone production company that incorporates exploration, development, acquisition, mining, ore processing and sales. We target historically proven and highly prospective properties in South America and Africa, which can come to production quickly. For more information visit our website www.cuyunimining.com
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SOURCE Uranium Hunter Corporation