Although the Company and the Ministry have been in informal discussions for an extended period, the Ministry only recently passed a resolution that invites mining companies in the exploitation phase to apply to commence formal negotiations for the purpose of settling the terms of an exploitation contract. It is expected that the contract will provide specific terms and conditions relating to the Company's mining operations at its Zaruma Project, including royalties payable to the Ecuadorian government from the sale of metals. Once the application is accepted by the Ministry, it is expected that such negotiations will be concluded and an exploitation contract finalized within 180 days.
Company President and CEO, Robert Washer commented: "We welcome the opportunity to commence formal contract negotiations with the government of Ecuador and hope to quickly reach an agreement that is mutually satisfactory and beneficial to all stakeholders. Once the contract is settled, the Company expects to accelerate its development of the mine at Zaruma in order to increase gold and silver production levels."
About Dynasty Metals & Mining
Dynasty Metals & Mining Inc. is a Canadian based mining company involved in the exploration and development of mineral properties in Ecuador.
The Company has the producing Zaruma Gold Project, the advanced-stage Jerusalem Project, and a highly prospective exploration project, the Dynasty Copper-Gold Belt, which includes the advanced-stage Dynasty Goldfield.
For further information please visit the Company's website at www.dynastymining.com, or please contact:
|Dynasty Metals & Mining Inc.|
Tel: (604) 687-0888
|Brisco Capital Partners Corp.|
Tel: (403) 262-9888
This news release contains certain forward-looking statements that reflect the current views and/or expectations of Dynasty with respect to its performance, business and future events, including statements regarding the outcome of the Company's application to the Ministry; the ability to negotiate an exploitation contract on terms satisfactory to the Company; and the Company's plans in respect of its Zaruma Project. Forward-looking statements are based on the then-current expectations, beliefs, assumptions, estimates and forecasts about the business and the industry and markets in which the Company operates, including assumptions relating to the Company's ability to successfully negotiate a satisfactory exploitation contract; that all governmental approval and permits will be received; and that the terms of the exploitation contract will allow the Company to develop its mining project in accordance with its business plan. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions which are difficult to predict. Investors are cautioned that all forward-looking statements involve risks and uncertainties including that the Company will be unable to negotiate an exploitation contract on terms satisfactory to the Company and in the expected timeframe; that the terms and conditions of the final exploitation contract will be restrictive on the Company's business; that the terms and conditions of the exploitation contract will impede the Company's development plans at its Zaruma Project; and those relating to exploration and development; the ability of the Company to obtain additional financing; the Company's limited operating history; uncertain mining legislation; the need to comply with environmental and governmental regulations; political and economic instability and general civil unrest in Ecuador; potential defects in title to the Company's properties; fluctuations in currency exchange rates; fluctuating prices of commodities; operating hazards and risks; competition; and other risks and uncertainties listed in the Company's public filings. These risks, as well as others, could cause actual results and events to vary significantly. Accordingly, readers should not place undue reliance on forward-looking statements and information, which are qualified in their entirety by this cautionary statement. There can be no assurance that forward-looking information, or the material factors or assumptions used to develop such forward looking information, will prove to be accurate. Dynasty does not undertake any obligations to release publicly any revisions for updating any voluntary forward-looking statements, except as required by applicable securities law.