September 29, 2008
Hidalgo Mining International (HMIT) Announces Its Signed LOI to Expand Tinkisso Project Ownership
Hidalgo Mining International (PINKSHEETS: HMIT), an innovative mining company headquartered in Port Washington, N.Y., announced today that it has now signed a letter of intent to expand the Tinkisso project ownership an additional 26 kilometers.
Mark Daniel Klok, President of HMIT, stated: "We have now completed our negotiations to expand and increase our ownership in the Tinkisso project within Guinea, West Africa. This pivotal deal will increase our property holdings within this project by 130% and insure long-term sustainability once our commercial mining operation is implemented."
ABOUT THE TINKISSO RIVER DREDGING PROJECT
The Tinkisso River dredging acquisition delineates a 56-kilometer ribbon along the Tinkisso River and covers potentially some of the most gold-rich sediments on both sides of the main river channel.
The Tinkisso Mining permit was granted to Hamilton Mining and Marketing SARL ("HMM") on the 8th day of January 2004. The permit is renewable in incremental five-year periods. It awarded HMM the exclusive right to mine for gold and related minerals in the bottom sediments of the Tinkisso River. Located in the heart of gold-rich Siguiri Basin, the Tinkisso River is a major tributary of the Niger River, the largest river in West Africa, which flows to the east. With several feeder streams known to carry gold mineralization, the Company believes that the Tinkisso River permit has the potential to become a short-term gold producer from the dredging of loose sediments at the bottom of the riverbed.
Over time, draining streams have fed gold-rich sediments eroded from the country rocks into the Tinkisso River. The Tinkisso River is less than 500 meters in width; the Tinkisso River valley is host to at least four levels of sedimentary terraces. The surrounding plain is highly dissected by numerous tributaries draining to the river and forming flat bottom valleys.
ABOUT HISTORIC EXPLORATION
Between 1909 and 1949, French colonials prospected and dredged a stretch of the Tinkisso River approximately 25 kilometers downstream from the Tinkisso River dredging permit area. During that period approximately 9,646 ounces of gold were extracted from the loose sediments of the Tinkisso River. A review of past records revealed that up to 60% of the recoverable gold was lost due to a poor recovery circuit. Furthermore, when mining was suspended in 1947, the operator left behind approximately 4,310 ounces of un-dredged gold resource a few kilometers from the Tinkisso River dredging permit area.
ABOUT EXPLORATION CONDUCTED BY HAMILTON MINING & MARKETING SARL
In August 2002, Hamilton Mining & Marketing SARL completed a dredging test on the Tinkisso River dredging permit area. Following several operational problems and rising water caused by heavy rain, the test was suspended following only one day of operation. Nevertheless, 26.0 grams of gold were recovered from the dredging test. During June and July 2003, Hamilton Mining SARL conducted a reconnaissance sampling program on the Bandou Siitou gravel bar located on the north bank of the Tinkisso River approximately three kilometers south of the town of Fifa, one of nine gravel bars banking the Tinkisso permit area that measures 680 meters long by 100 meters wide. A total of 11 pits on six lines were excavated across the width of the gravel bar and over its entire length. The clastic sedimentary sequence excavated included fine to coarse sand lenses within medium to coarse gravel horizons. More than 90% of the sand and pebbles were found to be composed of sub-rounded to well rounded quartz fragments. The recovered grades ranged between 0.34 milligrams of gold per cubic meter to 29.76 milligrams of gold per cubic meter with an average of 56.6 milligrams of gold per cubic meter. From 2004 to 2006, Hamilton Mining SARL tested recovered fine gold from sand bars in the permit area. As well, 4,100 grams of gold was recovered from intermittent random sampling of gravel dredged from the bottom of the river near the boundary of the permit area.
Mr. Klok went on to say, "We view this as one of the final steps in the reorganization plan of the Tinkisso project. The company now holds 56 kilometers of gold-rich property and has the ability to operate within this area for years. I have waited a long time to complete the consolidation of these assets and now look forward to implementing the exploitation of the gold deposits within the area."
ABOUT HIDALGO MINING INTERNATIONAL
Hidalgo Mining International (PINKSHEETS: HMIT), an innovative mining company headquartered in Port Washington, NY, strives to increase shareholder value, while implementing aggressive plans to continue targeting near term mining production projects on a global scale. HMIT's management, directors, and advisors hold an abundance of experience and knowledge to implement expansion in this rapidly growing industry.
DISCLAIMER: CAUTIONARY DISCLOSURE ABOUT FORWARD-LOOKING STATEMENTS
The results described herein cannot be guaranteed. The development of any and all of the subject mining claims stated herein is contingent upon multiple high risk factors that must be successfully dealt with in order to achieve the intended results. This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements in this news release other than statements of historical fact are "forward-looking statements" that are based on current expectations and assumptions. These expectations and assumptions are subject to risks and uncertainty, which could affect Hidalgo Mining Internationals' future. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the statements, including, but not limited to, the following: the ability of Hidalgo Mining International to provide for its obligations, to provide working capital needs from operating revenues, to obtain additional financing needed for any future acquisitions, to meet competitive challenges and technological changes, and other risks. Hidalgo Mining International undertakes no duty to update any forward-looking statement(s) and/or to conform the statement(s) to actual results or changes in Hidalgo Mining International's expectations.
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Contact: Mark Daniel Klok Hidalgo Mining International (305) 778-8360 http://www.hidalgominingint.com/
SOURCE: Hidalgo Mining International