Toronto, Ontario / ACCESSWIRE / July 22, 2014 / Mahdia Gold Corp (CSE: MGD) announces results of annual and special meeting, major joint venture agreement, and resignation of Director.
Toronto, Ontario - Mahdia Gold Corp. (the "Company") is pleased to announce that at the Company's
Annual and Special Meeting (the "Meeting") held on July 9 2014 Messrs. Donald Gordon, Robert Buckland, David Bending and John Martin were elected as Directors at the meeting and Kraft Berger LLP, Chartered Accountants, were reappointed as auditors of the Company for the ensuing year. Resolutions proposing a new bylaw and share consolidation weren't passed at the meeting.
Subsequently Mr. John Martin has resigned from the board of Directors, and the board wishes to express its appreciation to Mr. Martin for his service on the board.
The Company has arranged a Joint Venture Agreement Dated July 21, 2014 between wholly owned Mahdia Gold Corporation (Guyana) Inc., and related Company, Roraima Investment and Consulting Services (Guyana) Inc. with arms length equipment supplier and operator, K&B Mining and hardware Supplies ("the JV Partner") of Guyana. Pursuant to the agreement the JV partner may install and assemble a total of ten (10) 200 ton hydraulic wash plants capable of running alluvial material at the rate of 200 tons per hour together with up to twenty (20) complete mining dredges together with the additional machinery required to carry out mining operations including excavators, crushers, truck, bulldozers and other mining equipment.
The JV partner provides equipment operating personnel, fuel, and costs of running and maintaining equipment. Mahdia Guyana provides some equipment and all other accommodation, security and equipment on hand. The parties have a monthly operating committee to deal with changes and budgets arising from such rapid build-up of processing over a short period. Mobilization of equipment has commenced and expanding production will be underway within a week. Division of proceeds is 50/50 net of the direct expenses summarized here.
An additional Joint Venture agreement is being entered into with the JV Partner with respect to (2) 200 ton hydraulic wash plants capable of running alluvial material at the rate of 200 tons per hour together with 2 dredges on the same terms as the main joint venture except the Company retains ownership of the equipment on payout of the equipment cost and thereafter will have 100% of production from that equipment.
Another operator is currently on the property with two dredges operating under a 75/25 division before expenses with 25% to Mahdia, and all indications are that operator and equipment will remain given the size of the area available to all operators.
This represents a quantum leap in resources and production. The Company's short term goal is to develop a gold production stream that may be leveraged into a significant financing for the continued development and reserve analysis of the stockpile and the two pits on the Omai property.
About Mahdia Gold Corp.
Mahdia is a Canadian-based gold exploration company with active gold prospects in Guyana, South America.
For further information contact: Donald Gordon Interim CEO (604) 617-7221 or David Bending, VP Exploration, by email at [email protected], or by telephone at (416) 214-7748.
Information set forth in this news release may involve forward-looking statements under applicable securities laws. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such. Neither CNSX Exchange nor its Regulation Services Provider (as that term is defined in the policies of the CNSX) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Mahdia Gold Corp