LIMA, Peru, Sept. 30, 2011 /PRNewswire/ -- Portage Resources Inc., through its wholly owned subsidiary Portage Minerals S.A. ("Portage" or the "Company") (POTG-OTCQB), has signed a definitive agreement with Nilam Resources S.A. to acquire 55% of the Rocas #2 project "aka" concession Ruth RB code 010516107 in the Chiquian district, Department of Ancash.
This concession consists of 200 hectares and is completely surrounded by approx. 3000 hectares of mining properties controlled by industry giant BHP and is located 36 km west of the great Antimina/Pierina project that has produced upwards of 10 million ounces of gold since 1996.
Portage Resources Inc. President and CEO Paul Luna stated, "Preliminary Independent lab results indicated lower grades of gold and silver but massive volume results. As announced previously, the Rocas #1 shows potential of $2.5 Billion dollars, and Rocas # 2 is smaller in dimensions with indicated potentials of over $1 Billion Dollars in reserves, thus making potential reserves of over $3.5 Billion Dollars in the immediate area. The independent lab figures are compounded with the Pierina 10 million ounce production results, the massive presence of BHP, the Rocas #1 opinions previously announced coupled with the Rocas # 2 acquisition. I am glad to report that negotiations moved quickly after the Rocas #1 acquisition and we were able to secure the Rocas #2 concession as another great addition to the Portage portfolio."
The terms of this acquisition include a minimum investment of $50,000 USD or 200 meters drilling within 24 months of all permits and registry. Further, the additional 45% of the project can be acquired at any time for $0.675 per each ounce of silver on the total silver resource. Nilam Resources will also receive a one time payment of three and a half million shares of Portage Resources Inc.
About Portage Resources Inc.
Portage Resources Inc. is focused on the exploration and production of precious and base metals in Peru. Portage Resources Inc. plans to recognize, and acquire near-term production mining properties, the Portage Resources Inc. seasoned and experienced Peruvian management team will research, review and prove any reserves for the purpose of production.
Symbol: OTCQB - POTG www.portageresourcesinc.com
FORWARD-LOOKING STATEMENTS: "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements relating to the company's business activities and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations about the Company's business. Words such as expects, anticipates, intends, plans, believes, estimates and similar words and expressions are intended to identify such forward-looking statements. These statements involve risks that are difficult to evaluate. Actual results can vary from descriptions herein due to many factors including changes in metal prices and business conditions; changes in laws and regulations; problems encountered in exploration and obtaining permits; changes in the competitive environment; technological advances; shortages of skilled workers, drill rigs and equipment; the need for additional capital and other risks listed in the Company's Securities and Exchange Commission filings under "risk factors" and elsewhere. Forward-looking statements speak only as of the date they were made. The Company does not undertake any obligation to update forward-looking statements.
Contact: Financial Insights
Toll Free: 1-888-824-6757
SOURCE Portage Resources Inc.