VANCOUVER, BC / ACCESSWIRE / March 3, 2021 / Casa Minerals Inc. (TSXV:CASA, Financial)(OTC PINK:CASXF)(FSE:0CM) (the "Company" or "Casa") is pleased to announce that the Company has optioned the Congress Gold Mine located in west-central Arizona, USA. The historic Congress Gold Mine is located three miles north of Congress in Martinez Mining District of Yavapai County. The property consists of 14 Patented Mineral Properties with approximately 260 acres area. Commencing in or about 1887, the Congress mine operated at intervals until 1992 and at one time supported a full scale mining and milling operation and the small town of Congress. It has the distinction of being Arizona's largest gold-silver mine with production of about 500,000 ounces of gold.
Option Agreement:
Casa entered into an option agreement with the owners of the Congress Gold Mine (the "optionors") whereby Casa Minerals may acquire a 90% interest in the Congress mine and adjoining mineral properties by making option payments to the optionors of US$100,000 (US$50,000 on completion of due diligence, US$50,000 12 months after TSXV acceptance), issuing 2,500,000 shares (1,250,000 shares on TSXV acceptance and 1,250,000 12 months after TSXV acceptance) and committing to exploration expenditures of $2,000,000 within three years. The optionors will retain a 1.5% NSR of which one third may be purchased for $2,500,000. If a potentially viable NI43-101 mineral reserve is developed, the Company will make payments of US$500,000 per every 100,000 oz of gold in reserve up to a maximum of US$10,000,000. Ownership of surface rights to a depth of 40 feet from surface are excluded from the purchase agreement.
The option agreement and the transactions contemplated there are subject to acceptance of the TSX Venture Exchange.
Brief History
Congress Gold Mine has a history of intermittent production since 1887. Several different operators produced gold-rich material from some of the 45 gold-bearing veins and structures that have been identified by surface sampling and geological mapping. Most production is reported to be from the sub-parallel Congress and Niagara Veins that occur in a northwest-southeast trend across the property. Although production records are incomplete, mineralized material with 0.7 oz gold per ton are reported from the Congress vein; overall mine-life averages were probably close to 0.3 ounces gold per ton. The Congress has been idle since 1992 when mining ceased, possibly in part due to a dispute between the then-operator and the owners. The mine has not been evaluated and explored using present day methods and economics.
