Mr. Michael England reports
PREMIER GOLD MINES TO ACQUIRE STAKE IN ASHBURTON
AshburtonVentures Inc. has signed a letter agreement with Premier Gold MinesLtd. whereby Premier will participate in a private placement financingthat will be completed by Ashburton. The majority of this financing willfinance further exploration at Ashburton's Deep Creek gold propertylocated near Elko, Nevada.
Ashburton has made several significant discoveries at Deep Creekincluding the Upper Vein that has been traced over a strike length ofover 640 meters with surface sampling returning assays up to 1,180 g/tAu with width of up to over one meter widths in some areas. Additionalundiscovered gold-bearing veins are also indicated by a float sample ofvein material collected upslope of the Upper Vein, which assayed at28.90 g/t gold. The Upper Vein area represents only 10% of the DeepCreek property, much of which has not been systematically explored sincethe early 1990's.
"Ashburton is pleased to have Premier as a significant shareholder,"stated Michael England, President and CEO of the company. "We lookforward to continuing our exploration at Deep Creek, now incollaboration with Premier's experience and resources. A well-fundedcomprehensive exploration program is what the project deserves."
"The Deep Creek discovery shares similarities with the nearby Midas(Newmont) and Hollister (Great Basin) gold mines, both being high-gradenarrow vein deposits," stated Ewan Downie, President and CEO of Premier."Our investment in Ashburton gives us a foothold in this significantlyundervalued Company and provides for Premier to assist in implementingthe next phase of exploration at Deep Creek."
Premier will invest $600,000 in Ashburton through the purchase of7,500,000 units at
.08. The financing is to close on or about December22, 2010. Each unit consists of one common share in the capital of thecompany and one-half a common share purchase warrant. Each full warrantentitles the holder to purchase one additional share at a price of
.13cents per share for a period of 18 months from the date of issuance. Anadditional 2,500,000 units may be sold on a non brokered basis with thesame terms.
The initial share purchase will result in Premier owning approximately 14 per cent of Ashburton's current outstanding shares.
This agreement and private placement are subject to the acceptance for filing by the TSX Venture Exchange.
The technical contents of this release were approved by Ashburtondirector and qualified person as defined by National Instrument 43-101,Dr. Tom McCandless, P.Geo.
We seek Safe Harbor.