SRGE News Southridge Clarifies Cinco Minas Mineral Property Ownership
2012-04-13 09:01 ET - News Release
DALLAS, TX -- (Marketwire) -- 04/13/12
Southridge Enterprises Inc. (PINKSHEETS: SRGE) ("Southridge" or the "Company") announced today that the Company would like to clarify its mineral property ownership status at Cinco Minas in Jalisco, Mexico.
Southridge has completed binding legal agreements pertaining to Cinco Minas securing the surface rights, the property use/access and the mineral concessions. The Company currently has sole occupation and access to the property and all of the assets on the surface via a Surface Rights Agreement ("SFA") and a Property Lease Agreement ("PLA") with the local agrarian community of Cinco Minas (Ejido Cinco Minas) and has established, over the past couple of years, a strong relationship with the community with respect to the mining operations on site. The PLA is generating monthly revenues for the community and has brought an impoverished district into a healthier standard of life. This being the first of many steps to carry out the Company's commitment of social responsibility. Also, the public update of the Cinco Minas mineral concession ownership being duly reflected in Southridge's name is expected at any time. However, the Company has been advised by its legal counsel that the update process typically takes considerable time to complete at the Mexican Mining Registry. It should be noted that the mineral concessions only have tangible value when combined with the surface rights and property access. Southridge has secured all of these necessary components to conduct mining operations at Cinco Minas.
Cinco Minas is our flagship mineral property with a 60 tpd mill and 2 year supply of ore production currently on surface. The property also has a world-class confirmed gold and silver resource of 235,000 oz. gold, and 23.3 million oz. silver with 80% of the known vein system at Cinco Minas has yet to be tested. Today's market value of the confirmed resource at Cinco Minas is well over $1 Billion USD, prior to the completion of further planned exploration to expand the resource.
With respect to recent news regarding the troubled past of the previous owners of Cinco Minas, it should be clarified that these circumstances have absolutely no relevance to Southridge or its management in any way, shape or form. The Company is currently conducting business as usual by focusing its operations on the development and expansion of its mineral properties and facilities.
Additionally, Mathers Research has initiated research coverage of Southridge, with a "Speculative BUY" Opinion and a near term price target of $0.20 cents per share. The Mathers Research report is available as a free download on the Mathers Research Website @ http://mathersresearch.com/srge-report
For further information on the Company's Gold and Silver projects, visit our website, http://www.southridgeminerals.com
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