RE: Evdentually TRGD will be listed Tara Minerals Provides Update
Ticker Symbol: U:TARM X:BERLIN:6T3
CHICAGO, IL -- (MARKET WIRE) -- 02/08/12
Tara Minerals Corp. (OTCBB: TARM) (BERLIN: 6T3) is pleased to announce that work at the 150 hectare Champinon iron ore property is ongoing and continues to verify earlier grab sample assays. Tara's operational team has succeeded in identifying high, medium, and low grade mineralized iron zones. Drilling, mineralogy and design work, with a dual focus of tonnage expansion and production, is progressing well. A production, operation, and marketing plan is under development and details will be shared upon its completion.
On August 9, 2011, Tara Minerals had entered into an option with Carnegie Mining and Exploration, Inc. (CME) whereby CME would invest $13 million, and achieve certain production targets, to earn an undivided fifty percent (50%) interest, over two phases, in various high grade gold, silver, zinc, lead and iron ore concessions. Within this option, CME had a ninety day option to designate an iron ore property and incur a minimum of $1 million on the designated property to earn an undivided fifty percent (50%) interest in Tara's current and future iron ore projects within Mexico. CME did not meet its obligations and thus the options expired. CME sought to extend its option by asking for a sixty-day mediation process as provided for within the option agreement. Tara cooperated in the process but CME failed to hold a meeting within the allocated mediation time frame.
Tara initiated legal action by filing suit in the Southern District of Nevada seeking a judgment regarding the expiration of the iron ore option. Tara's complaint states that the indisputable facts reflect that CME completely failed to fulfill its obligations under the option agreement. Thus far, CME has failed to respond in any substance to the complaint. However they did undertake an action against two former CME employees, who are now Tara employees, in a Texas state court. Tara believes that CME's complaint was actually defensive in nature and meant to obfuscate and distract attention from CME's failings. This complaint was removed to Texas federal court and will be defended vigorously. Tara believes that the facts will vindicate our position.
Mr. Francis Biscan Jr., President of Tara Minerals Corp., commented, "Evidence supporting our position has been provided to the court. It appears that CME has been waging a campaign of intimidation, much of which has been captured in their communication, in both private and public forums. Option agreements are common in the mining industry and CME unilaterally failed to meet its obligations. Tara will take all measures at its disposal, including seeking remedy for any damages, to protect shareholder assets. Our team will continue to conduct itself in a professional manner and is focused on progressing Champinon and other properties for the benefit of all shareholders."
About Tara Minerals Corp. (https://www.TaraMinerals.com)