MoU signed for processing gold ore from Nambija, Ecuador
TSX Venture Exchange
Shares Outstanding: 64,170,998
TORONTO, May 30, 2013 /CNW/ - Canuc Resources Corporation ("Canuc" or the "Company") (TSX-V:CDA) is pleased to report that a Memorandum of Understanding (MoU) has been signed with Mr. Freddy Navaerez, the representative from Pimicape S.A. and PlanBeoro S.A., in regards to the mining of material from the Company's Nambija gold property in Ecuador. Material is expected to be processed at the newly refurbished Campanillas Mill (pictured) which is located approximately 2 kilometers west of Nambija.
In 2012 Pimicape S.A. invested approximately $1.5 million USD into refurbishing the Campanillas Mill (originally constructed in the 1980's) and is rated at 150 tons per day. The mill was restarted in March of 2013 and is currently processing material from the Campanillas property. Coincident with the start-up, Mr. Narvaez signed a MoU with Canuc in regards to the acquisition of mill feed from Nambija. Once an agreement is in place, arrangements will be made to source ore from Nambija.
Please follow the links for images of the mill
The Ministry of Mines in Ecuador has also been actively conducting safety inspections at the Nambija project and closing areas deemed too dangerous to work. This is part of a new mandate established by the Federal government in order for local authorities in Zamora to revive operations at Nambija in a safe and environmentally friendly manner. Mineral processing of Nambija ores is expected to be undertaken at the Campanillas Mill.
"Last year Canuc had revenues of $186,738 CDN from the Company's gas and oil wells in Texas. This is expected to materially increase in the current year as further wells are drilled in proven gas and oil reservoirs within the Thompson and Walker Butler fields respectively. We anticipate this developing cash flow will now be complemented by payments received from the processing of material from the Company's Nambija property in Ecuador. We are pleased to be developing Canuc's sources of revenue in Texas and Ecuador respectively and expect to continue with this focus in the year ahead", stated Gary Lohman, President and CEO.
Canuc is a natural resource company with its principal properties located in Texas and Ecuador. Canuc is active in the Oil and Gas sector in Texas, and at the Nambija gold project in Ecuador.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.
This news release contains forward-looking statements that include risks and uncertainties. When used in this news release, the words "estimate", "project", "anticipate", "expect", "intend", "believe", "hope", "may" and similar expressions, as well as "will", "shall" and other indications of future tense, are intended to identify forward-looking statements. The forward-looking statements are based on current expectations and apply only as of the date on which they were made. The factors that could cause actual results to differ materially from those indicated in such forward-looking statements include changes in the prevailing price of gold, the Canadian-United States exchange rate, grade of ore mined and unforeseen difficulties in mining operations that could affect revenues and production costs. Other factors such as uncertainties regarding government regulations could also affect the results. Other risks may be set out in Annual Reports.
SOURCE Canuc Resources Corporation