Candente Secures Upside Potential On El Oro

 

VANCOUVER - Candente Resource Corp. and Candente Gold Corp. advise that Candente Gold has re-negotiated the terms of its Option agreement with Luismin, S.A. de C.V., a subsidiary of Goldcorp Inc. for the El Oro gold-silver property in Mexico. Candente Gold's indirect right to earn a majority interest in the property has been revised to relinquish Luismin's back-in right for the Historic Mining Area, where a minimum of 8 million ounces of gold and 250 million ounces of silver has been produced predominantly from two veins. Luismin retains the right to back-in to a 70% interest in the outlying Exploration Area.

In exchange for the back-in right in the Historic Mining Area, Candente Gold has agreed to issue 2,000,000 shares to Luismin over 4 years, give Luismin the right to participate in future financings and to spend in the Exploration Area a minimum $1.5 million of the total $10 million expenditure required to fully exercise the option. "We are very pleased with this new structure which allows Candente Gold to have the majority of the upside potential on the Historic Mining Area", comments Joanne Freeze P.Geo., President and CEO. We believe that the Historic Mining Area has the potential to host several million ounces of gold and hundreds of millions of ounces of silver. This potential exists in both vertical and lateral extensions to known veins as well as possible undiscovered veins.