Paramount Gold and Silver Corp. has signed an agreement to acquire 100% of its San Miguel project in Chihuahua, Mexico. Paramount Gold and Silver Corp. (Paramount) will purchase the remaining 30% of the San Miguel project from Tara Gold Resources Corp. for all stock consideration of 7.35 million restricted common shares of Paramount. The transaction is expected to close on September 10, 2008 and is subject to stock exchange approvals and other conditions.
Christopher Crupi, CEO of Paramount Gold commented, “We are very excited to acquire the entire San Miguel Project. As we complete our second major round of drilling, we will be in a stronger position to build the resource and to plan for the next stage of project development including the future mining potential of the region.”
The San Miguel Project hosts a National Instrument 43-101 compliant silver-gold inferred resource of 108.5 million ounces of silver (Eq.) or 2.085 million ounces of gold (Eq.).