LAS VEGAS, NEVADA– North Springs Resources Corp. (OTC.BB: NSRS.OB - News)(Pinksheets:NSRS.OB - News) (the “Company” or “North Springs”) is pleased to announce it has signed a Letter of Intent to acquire an interest in an advanced gold exploration property in Ghana, Africa. The property is located within Ghana’s historic Ashanti Gold Belt and is situated less than one mile from the border of a gold mining property that is currently producing in excess of 175,000 oz. of gold and $280 million in gross revenue per year. Extensive soil and stream sediment sampling, trenching, auger drilling, and rock chip sampling indicates that the property has the potential to host both low-grade large tonnage and high-grade lode gold deposits similar to other multi-million ounce gold mines with similar geology operating in the immediate area.
“Acquiring a large concession of this quality located right next door to a producing mine in one of hottest gold mining regions of the world will be a major accomplishment for the Company,” said Harry Lappa, President of North Springs. “Many other companies are active in the area, including major players like Newmont, Goldfields, AngloGold, and Kinross, because they know that this is gold mining elephant country. We believe that acquiring a piece of this property will put us right in the middle of the action and position the Company for a potential multi-million ounce gold discovery.”
The Republic of Ghana, formerly known as the Gold Coast, is Africa’s second largest gold producing country, after only South Africa. Foreign mining investment in Ghana has benefited significantly from the country’s stable democratic government system and well established mining laws. Over the last century, Ghana has produced approximately 60 million ounces of gold and has a current estimated gold reserve of well over 100 million ounces with a gross mineral value estimated to be in excess of $162 billion dollars based on today’s gold spot prices. Despite Ghana’s long history of gold mining, the rate of new discovery and production in Ghana is still increasing. According to data from the Ghana Chamber of Mines, 2010 saw gold production in Ghana rise by 1.4% to 2.97 million ounces, with revenue from sales of the precious metal during the year increasing 27.5 percent to $3.62 billion.
The proposed transaction remains subject to, among other things, North Springs and the current property holders entering into a definitive agreement and completion of satisfactory due diligence by all parties. There can be no assurance that the transaction will be completed as proposed or at all. If and when a definitive agreement is memorialized, additional details regarding this transaction will be forthcoming.
About North Springs Resources Corp.
North Springs Resources Corp. is focused on the evaluation, acquisition, exploration, and development of mineral resource properties. Currently, we are in the evaluation and acquisition phase of operations. The Company is led by a skilled and experienced management team and independent consulting geologists with many years of experience. North Springs is committed to creating value for its shareholders by advancing its current holdings and by acquiring new properties with significant potential.
For additional information, please visit www.northspringsresources.com.
Harry Lappa, President
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