Source: Douglas Lake Minerals Inc.
VANCOUVER, British Columbia, Aug. 14, 2009 (GLOBE NEWSWIRE) -- Douglas Lake Minerals Inc. (the "Company") (OTCBB:DLKM - News; Frankfurt:D60.F - News) announces that, effective on August 13, 2009, the Company entered into an Agreement (the "Agreement") with Midex Gold Corp. ("Midex") on the Magembe diamond property in the Shinyanga district of Tanzania. The Magembe diamond property comprises a total area of 46 square kilometers directly adjacent to the eastern, northern, and western boundaries of the Williamson mine, one of Africa's most significant diamond producers.
The Magembe property is part of a two-kilometer buffer zone created to surround the Williamson (Mwadui) mine as part of the original mine development in the 1940's and 1950's. This buffer zone was formed with the intention of ensuring that the mining operations could proceed in a safe and orderly manner through the prohibition of the mining of surficial diamond deposits in the area immediately adjacent to the mining operation. Elsewhere, outside the buffer zone, artisanal mining of surficial diamonds is widespread and continuing. The Shinyanga district is renowned for its diamond production from both the Williamson (Mwadui) mine and artisanal mining operations. Changes to the Tanzanian Mining Act in 2003 outlawed the existence of buffer zones and the mineral rights were acquired by Atlas Africa, a private Tanzanian company. The Company acquired the rights from Atlas Africa in December, 2006.
Pursuant to the terms of the Agreement Midex shall have the right to enter, sample, drill and otherwise explore for minerals on the property underlying the Prospecting License as granted by the Government of Tanzania under the Mining Act of 1998 and any other rights covered by the Prospecting License.
In consideration for entry into the Agreement the Company will be issued one million shares of Midex and receive a 5 percent NSR. Midex's obligation to earn 100 percent of the Company's interest in the property is to commit to $2,000,000 (U.S.) in exploration expenditures prior to the second anniversary of the Agreement.
About Douglas Lake
The Company is an emerging mineral exploration company focused on exploring and developing mining opportunities in Tanzania. The Company has a portfolio of gold, copper, nickel, uranium and diamond prospecting licenses. For more information, go to www.douglaslakeminerals.com.
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