RE: Douglas Lake
Douglas Lake Minerals Inc. Signs Agreement For The Entire Mkuvia Gold Project
Wednesday, 16 Jun 2010 08:53am EDT
Douglas Lake Minerals Inc. announced that it has signed an additional Purchase Agreement with Ruby Creek Resources, Inc for the remaining 255 square kilometers of the Mkuvia Alluvial Gold Project in Tanzania. The Mkuvia Alluvial Gold Project is located in the Liwale and Nachingwea Districts, Lindi Region of the United Republic of Tanzania. The Project is the subject of a report titled the Technical Resource Report on the Mkuvia Gold Project", prepared by Laurence Stephenson, P.Eng. of British Columbia, Canada and Ross McMaster, MAusIMM of Queensland, Australia. Mr. Stephenson and Mr. McMaster are independent and Qualified Persons (Q.P.s) in accordance with JORC and NI 43-101. This new agreement, along with the November 7, 2009 agreement with Ruby Creek, covers the entire 380 square kilometer area held by the Company. Under the terms of the new agreement, Ruby Creek will make payments totaling $6 million in a combination of cash and common shares over the next three years for the exclusive mineral and mining rights of the remaining 255 square kilometers. Along with the payments due under the November 9, 2009 agreement, this will bring a total commitment of $9 million due to the Company from Ruby Creek for the exclusive rights to the entire Mkuvia Project. This source of financing continues to solidify our working relationship with Ruby Creek and has the added bonus of being non-dilutive to our shareholders