Clifton Mining Company Inc. (OTC: CFTN) - President's Letter
ALPINE, UT, June 28, 2011 /PRNewswire/ -
After decades (that seemed more like centuries to us), there is finally commercial production at the Clifton mill site. Having upgraded and increased the size of the mill, Desert Hawk Mining is now in consistent production on small, but high grade, outcropping pods. They have shipped their initial concentrates to Asarco, and they and we have received the initial payment. They have also shipped six thousand pounds of Tungsten with more ready to be shipped.
Desert Hawk Mining is presently working to obtain a heap leach permit for the Kiewit Zone, which they believe contains an estimated more than 10 million tons of mineralized resource. This should result in significant royalties for Clifton, which at current metals prices Clifton would receive a 15% net smelter return for precious metals, as opposed to 4% for non-ferrous metals.
Earlier this year, Clifton signed an agreement with the Department of Metallurgy at the University of Utah to further its patented microwave technology based on targeting the frequencies of gold and silver. For a number of samples in which the precious metals are encapsulated in matrices of bentonite (and, we believe, telluride), the recovery of precious metals obtained by the Department increased by more than one order of magnitude, with several of the samples yielding more than two ounces of gold per ton. While much constructive development has been accomplished, considerable additional testing needs to be done. If that testing bears out the results of the work to date, the process has potential both for our own resources and also for other mining companies looking for increased recoveries.
As per the questions about Clifton's investment in American Biotech Labs (ABL), ABL is a biotech company that has a unique patented technology that produces a silver sol, meaning an atomic silver suspended in pure water, which properties include a very broad spectrum anti-pathogenic. For the third time in the past five years, ABL has received Utah's 2011 "Best-in-State" award for Medical Innovation. Clifton is the largest shareholder owning approximately 21%. For the year 2010, Clifton received in cash distributions from ABL just over $100,000. In 2011, Clifton hopes that it's return on its investment in ABL will be much higher.
Important Announcement for the Shareholder's Annual General Meeting:
We have scheduled our Annual General Meeting for 12:30 p.m. on Friday, August 26, 2011 at The Alpine Arts Center in Alpine, Utah. We look forward to seeing you in person at that time.
Best wishes for a continued wonderful and healthy year,
Kenneth S. Friedman
Clifton trades on the U.S. OTC: (CFTN).
Note: Any statements released by Clifton Mining Company that are forward looking are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Editors and investors are cautioned that forward looking statements invoke risk and uncertainties that may affect the company's business prospects and performance.
SOURCE Clifton Mining Company