Joint Venture Agreement with NewmontTiex - Announces Option to form Joint Venture Agreement with Newmont
KELOWNA, BC, Apr 27, 2011 (PR Newswire Europe via COMTEX News Network) --
Tiex Inc. ("Tiex" or the "Company") is pleased to announce through its wholly owned operating subsidiary (Bullion Gold Corp.), the completion of an earn-in option/ joint venture agreement with Newmont Canada Corporation, a subsidiary of Newmont Mining Corp. ("Newmont") in relation to the Company's Bullion Property. The agreement encompasses 17 claims within the boundary of the Bullion Property.
The agreement calls for a 2 phase earn-in process. Phase 1 consists of a 5 year, $2.5 million minimum aggregate work expenditure for Newmont to earn 51% with a minimum 1(st) year commitment of $100,000. The agreement also provides Tiex Inc. cash payments in the aggregate of $375,000 by Newmont annually over the Phase 1 earn-in, with the minimum 1(st) year payment of $15,000. The cash amounts will be paid annually on or before the anniversary date of the agreement. Newmont may elect to discontinue Phase 1 earn-in at any time after the 1(st )year commitment in which case, it would retain no interest in the Property.
Upon Newmont completing Phase 1 earn-in, Newmont at its sole discretion may elect to earn and vest in an additional 24% in the Property by (i) completing an additional $7 million in minimum work expenditures on the Property within an additional 4 years; or (ii) completing a positive feasibility study on the defined Property, whichever comes first. Newmont may elect to discontinue Phase 2 at any time and retain its 51% interest. On completion of Phase 1 and 2, Newmont will have an earned and vested 75% interest in the Property.
Ken Faulkner, President and CEO Tiex Inc, states; "We are very pleased and excited to enter into this agreement with Newmont. Both parties are hopeful that this agreement can form the basis of exploring further synergies that will be of mutual benefit. In the meantime, we look forward to working with Newmont, a first class international mining giant."
About Tiex Inc: Tiex Inc. is a TSX Venture listed mineral exploration company focused on the exploration of its 95,559 hectare Cariboo Goldfields Project located in the historic Quesnel Trough area of central British Columbia, Canada. The property is accessible by highway and logging roads year round. For more information, you can visit the company's website at www.tiexinc.com.
ON BEHALF OF THE BOARD OF DIRECTORS
"Kenneth D. Faulkner"
President & CEO