MONTREAL, QUEBEC -- (Marketwire) -- 01/16/13 -- Cabia Goldhills Inc. ("Cabia") (TSX VENTURE: CGH) is pleased to announce that the first drill hole of its current exploration program has been initiated on the Mejia Property. The drilling program will be testing different recognized mineralized trends as well as geophysical and geochemical anomalies. In addition, certain areas will be tested to better understand de porphyry style mineralization model.
In addition, Cabia announces that it has entered into a binding agreement to acquire an additional mining concession of more than 3,975 hectares located immediately to the south of its 100% owned Mejia Property, in the San Lucas gold belt of the Bolivar Department, Colombia. The concession, to be known as the Mejia South Property is situated in the municipalities of Barranco de Loba and San Martin de Loba and Rio Viejo.
This new property increases the flexibility of our exploration and development activities within the immediate area of our Mejia Project. A series of veins have been encountered on the Mejia South Property, having similar strike directions than those encountered at the four artisanal mines adjacent to the Mejia Property, namely La Gloria Mine, El Fogaje Mine, Los Romanes Mine and El Turco Mine (the "Mejia Mines").
"We are delighted to have been able to add to our already sizable land position in this highly sought after gold district. Cabia now controls about 11,000 hectare of mining concessions, including several artisanal mines, which gives us one of the largest position in the San Lucas Gold Belt" stated Michel Delisle, President and CEO of CABIA.
Pursuant to the agreement, Cabia will conduct a 2,000 meter drilling program on the Mejia South Property over a period of two years. Upon the registration of the final transfer of title to the properties and the completion of a NI 43-101 compliant report, Cabia will pay to the owners an amount of US$15 for each ounce of gold reserves encountered on the Mejia South Property. In addition, Cabia will pay a royalty corresponding to 15 % of the net profits or, at the choice of the owner, a 2% NSR. Cabia can return the property to the current owner at all times and without further obligations if it does not discover sufficient reserves which can be exploited economically.
Cabia's Mejia Project is a 6,946 ha mineral concession located close to sea level and outside any environmentally restricted areas in the San Lucas gold district in the Sur de Bolivar region of the Department of Bolivar, Colombia. The San Lucas gold district is an under explored area where intense artisanal mining is present, including the Mejia Mines, as described in Cabia's NI-43-101 report on the Mejia Project available on the company's SEDAR profile at http://www.sedar.com.
About Cabia Goldhills Inc.
Cabia Goldhills is a TSX-V listed junior exploration company focused upon the exploration and development of gold projects in Colombia. Cabia currently has less than 39 million shares outstanding.
Prospective Statements, Quality Control and Assurance:
Statements in this press release contain forward-looking information within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Readers are cautioned that assumptions used in the preparation of forward-looking information may prove to be incorrect. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, level of activity, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information. There is no guarantee that the acquisition of the Mejia Mines will be completed.
Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors (many of which are beyond the control of Cabia) that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors could cause results to differ materially from those expressed in the forward-looking information include, but are not limited to: stock market volatility, access to capital, commodity prices and general economic conditions. Industry related risks could include, but are not limited to: operational risks in exploration, development and production; delays or changes in plans; competition for and/or inability to retain other services; competition for, among other things, capital, acquisitions of reserves, undeveloped lands, skilled personnel and supplies; risks associated to the uncertainty of reserve estimates; governmental regulation, including environmental regulation; geological, technical, drilling and processing problems and other difficulties in producing reserves; the uncertainty of estimates and projections of costs and expenses; incorrect assessments of the value of acquisitions; the need to obtain required approvals from regulatory authorities and other factors. Readers are cautioned that this list of risk factors should not be construed as exhaustive. The forward-looking information contained in this news release is expressly qualified by this cautionary statement. Cabia does not undertake any obligation to update or revise any forward-looking statements to conform such information to actual results or to changes in expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cabia Goldhills Inc.
Mr. Maurice Montpetit
Vice President, Business Development
Most Popular Stories
- McDonald's Packages Coffee for National Distribution
- Apple Stock Bounces Back Big Time
- James Foley Beheading Video Is Real Thing: White House
- Target Slashes Annual Profit Outlook
- Castro-Blanco Joins Fifth Street Finance Board
- Google Kid Accounts Plan Raises Worries
- Honda's Safe Approach Pays Off in Sales
- Ballmer Steps Down From Microsoft Board
- GE Healthcare Bringing Jobs to Massachusetts
- Islamic Militant in James Foley Beheading Video May Be English