NRNorth American Gem Inc. Finalizes the Acquisition of Its Largest Blue Gem Coal Lease in Knox County, Kentucky
4/14/2010 2:57:53 PM - Market Wire
VANCOUVER, BRITISH COLUMBIA, Apr 14, 2010 (Marketwire via COMTEX News Network) --
North American Gem Inc. (TSX VENTURE:NAG) has finalized the acquisition of an additional 650 acre multi-seam coal lease in Knox County, Kentucky which will be known as the Gilliam Hill Lease. This newly acquired lease is immediately adjacent to the North American Gem #2 Mine and also contains the readily marketable Blue Gem coal throughout the entire lease area with an average seam thickness of 2 feet. In addition to the Blue Gem seam, the Jellico and Dean seams have been confirmed on the lease as well.
NAG has made plans to begin drilling on the newly acquired lease in the next 90 days and will verify the seam thickness and quality of the coal in all 3 known seams. Preparation for submittal of the mining permit application to the Kentucky Department of Natural Resources on the Gilliam Hill lease has already begun. As with the Granny Rose Lease announced February 2nd 2010, mining costs are expected to be relatively low on this particular lease due to favorable strip ratios and mining conditions. Once successfully permitted, the Gilliam Hill lease will be mined using surface and auger mining techniques.
"The Gilliam Hill lease will be our largest lease acquired to date for total estimated tonnage as well as mining production potential," stated Charles Desjardins, President of North American Gem Inc. "We are optimistic that the Company will be able to expand this lease area by adding available contiguous parcels that are currently in negotiation."
Mr. Dean Schafer is acting as operations manager of all the Company's Kentucky coal leases and is currently implementing an overall mine plan.
Ms. Deborah Moses, PEng, PLS, REM, of Engineering Consulting Services Inc. (ECSI) is the qualified person for the Company's coal operations in Kentucky and West Virginia.
North American Gem Inc. (TSX VENTURE:NAG) is a Junior Exploration Company based in Western Canada. The Company's primary goal is to explore for Coal in North America, currently the focus is in Kentucky, Saskatchewan, and West Virginia. In addition to Coal exploration, the Company also has interests in Uranium, Copper, Gold, Molybdenum and other base metals in Canada.
On Behalf of the Board of Directors
NORTH AMERICAN GEM INC.
Charles Desjardins , President and Director
Cautionary note:
This report contains forward looking statements. Resource estimates, unless specifically noted, are considered speculative. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. The production rate and mine-life projections have been made without support of a feasibility study, there is no certainty the proposed operations will be economically viable. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.
SOURCE: North American Gem Inc.
North American Gem Inc. Charles Desjardins President and Director 604-683-5445 604-687-9631 (FAX) info@northamericangem.com www.northamericangem.com
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