WILMINGTON, Del., June 27, 2012 /PRNewswire/ -- Auric Mining Company (PINKSHEETS: AUMY) is pleased to announce that it has finalized negotiations to increase and consolidated its previously negotiated Financial Guarantees to a single $60 million asset backed Financial Guarantee. The newly negotiated instrument also reduces the effective transaction fee rate to 8%, considerably less than the rate applicable to the previous two commitments.
This consolidation and rate reduction permits the Company to expedite the closing of the three (3) properties currently under the investigative analysis stage of its due diligence process and will permit the Company to greatly expand the scope of its recently announced acquisition and partnership initiatives. The Company will give priority to the recommissioning of previously producing gold properties due to their relatively low cap-ex and high production probability.
The Company recently announced it had increased to $60 million the total Financial Guarantees in place and that it had completed the first phase of its due diligence on 7 properties and would be proceeding to the next phase with three (3) of these properties. Further progress on the finalization of these acquisitions, as well as any additional opportunities under review will be reported in due course.
The Company has put in place the required financial and human resources and management to leverage the significant inherent resource value at these near term production scenarios, each with significant undervalued growth potential. The Company expects to soon announce completion of specific acquisitions and/or partnerships that are currently in progress.
About Auric Mining Co.
Auric Mining is an investment and management enterprise that acquires and operates profitable energy companies with strong historical cash-flow and sustainable profitability. As part of its new growth initiative, the Company plans to acquire sector-specific technology and assets to be integrated into existing and future operations. Auric's primary business strategy is the acquisition of diverse, profitable energy related assets that provide synergistic profits and revenue enhancements across all portfolio companies.
The Company has developed and maintains an extensive database of private and public natural resources companies which have substantial resources already proven. The Company is constantly seeking acquisition opportunities with significant exploration upside through purchase, joint venture or investment. With unparalleled instincts for successful mineral projects, a field-oriented management style and a flat organizational structure, the Company has an ability to concentrate its financial assets, human resources and field efforts to provide timely decisions and a continued focus on the most prospective targets. The company has a number of claims strategically located in this historic mining district. The Company believes its combination of profitability and mitigated-risk funding structures provides long-term shareholder equity appreciation. For more information please visit the company's website at www.auricminingcorp.com.
This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995 - forward-looking statements concerning plans, objectives, goals, strategies, future events of performance and underlying assumptions and other statements which are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and services demand and acceptance, changes in technology and in economic, political and regulatory conditions and to all of the risks generally associated with a company at Auric Mining's stage of development. All such forward looking statements, whether written or oral, and whether made by or on behalf of the company, are expressly qualified by these cautionary statements. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.
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SOURCE Auric Mining Company