Transatlantic Mining Enters 2nd Lease Renewal Term at Miller Gold Mine, Montana, Drill Rig Mobilized
MWN-AI** Summary
Transatlantic Mining Corp. has successfully completed the first renewal term of its lease for the Miller Gold Mine in Montana and is now entering its second renewal term. Initially acquired on December 21, 2020, the Miller Mine is located approximately 29 miles northeast of Townsend, Montana, and has shown promising gold mineralization historically.
The completed first renewal term lasted 24 months, requiring a financial commitment of $100,000, which could be paid in cash or shares, subject to TSX approval. During this period, Transatlantic also undertook a minimum expenditure of $100,000. The current second renewal term extends for another 24 months, with the same financial requirements.
With a drill rig now mobilized to the site, Transatlantic plans to explore previously untested deeper zones of the mine, targeting a total of 3,000 meters this year. The drill campaign will focus on the principal vein structure, with results anticipated 6 to 8 weeks post-drilling as geological evaluations are completed.
The mine has a rich historical background, with sporadic gold production from 1901 to 1948 and previous sampling indicating significant gold grades, including findings of 14.7 oz/ton Au (516 g/t) reported from a depth of 300 feet. The mineralization at Miller is characterized by quartz veins within a granodiorite stockwork, suggestive of further exploration potential.
Should mining commence, Transatlantic Mining would incur an 8.5% royalty on gold production until cumulative royalty payments total $4.5 million, after which an ongoing 1% net smelter return would apply. The Miller Mine is seen as a strategic asset for the company as it continues to advance its exploration and potential mining activities.
MWN-AI** Analysis
Transatlantic Mining Corp. (TSXV: TCO) has made significant strides in its operations at the Miller Gold Mine in Montana, recently entering its Second Renewal term for the mine lease. This prolonged commitment, coupled with ongoing drilling activities, presents a compelling opportunity for investors.
As the company mobilizes drilling rigs to explore previously untested zones, it seeks to capitalize on the substantial historical gold grades reported, with average recoveries showcasing impressive figures of 7.94 oz/ton Au (248 g/t Au) and even higher peaks in certain drill holes. Given the historical production data and the current exploration focus on deeper, untouched sections, there is potential for discovering more mineral wealth, which could drive share prices upward.
Investors should be aware of the financial framework of the lease arrangement. The company is committing $100,000 in the current renewal period, with a similar obligation anticipated for the ensuing term. Given the royalty payment structure—an 8.5% on ounces produced until cumulative payments reach $4.5 million USD—this model could yield substantial revenue flow if mining operations commence, enhancing the value proposition for shareholders.
Moreover, the project exists within a stable mining jurisdiction, minimizing political risks and enhancing operational contingency. The company's strategic commitment to developing existing assets over pursuing speculative acquisitions adds a level of risk management that can appeal to conservative investors.
However, potential investors should remain vigilant due to typical mining sector risks such as operational delays, fluctuating commodity prices, and permitting challenges. It is advisable to keep an eye on assay results expected in 6 to 8 weeks post-drilling, as they will be pivotal in shaping market sentiment and performance.
In summary, Transatlantic Mining presents a notable opportunity in the precious metals sector, hinging on its operational advancements at the Miller Gold Mine. Investors may consider building positions, especially as drill results emerge and operational milestones are achieved.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Vancouver, British Columbia--(Newsfile Corp. - May 28, 2025) - Transatlantic Mining Corp. (TSXV: TCO) (the "Company") is pleased to announce the company has fully satisfied the term of its First Renewal term and is now entering into it its Second Renewal term of its lease arrangement.
On Dec 21, 2020 Transatlantic exercised its option to acquire 100% of the Miller Mine located in the Broadwater County in the State of Montana , USA. These claims are approximately 29 miles to the northeast of Townsend in Montana USA with gold mineralization that has been verified on the old levels of the historic Miller mine.
Key components of the transaction:
Transatlantic has now satisfied the first renewal term and exclusive lease arrangement with a right to all data and information for the Miller Mine Patented and Unpatented claims in Broadwater County, Montana USA. A drill rig is now mobilized to site as Transatlantic continues to explore the property around the historical drilling which was conducted by Jericho Mines Ltd in 1968-69 as reported by Hemsworth July 2, 1969, and the old levels with production records.
- A First Renewal term, now completed, of twenty-four (24) months following the expiry of the due diligence period for consideration of $100,000 in cash or share equivalent between 5 and 10 cents CAD at Transatlantic mining election subject to TSX approval. On that election, Transatlantic to spend $100,000 in the first renewal term.
- A Second Renewal term of twenty-four (24) months on the expiry of the First Renewal Term for consideration of $100,000 with a minimum $100,000 spend in that period.
Should mining occur at anytime, there will be an 8.5 % payment royalty on ounces produced until the cumulative payments including the Initial Term ,first renewal term, second renewal term and royalties related to the Miller Mine reaches $4.5 Million USD for change in ownership to 100 % Transatlantic and then a 1% gold NSR to the vendor thereafter.
Transatlantic has received its drill permit for the Miller Mine and plans to drill down dip of the historic lower levels to over 100 metres of strike and depth on the principal vein structure. The ground conditions are envisaged to be good where the old workings have been accessed. Transatlantic plans to drill up to 3,000 meters this year targeting the untested deeper zones as per Figure 1 below. Results from the assay laboratories are expected from 6 to 8 weeks after the drill campaign and geological evaluation is completed.
Figure 1 - Miller Mine Resource Drilling Target Areas
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4652/253542_47500fa76474fbce_001full.jpg
Webinar Recording: CEO Bernie Sostak hosts an interactive webinar discussing the company's drill program and future plans at Miller: Click HERE to view.
Fig 2. Drill Rig at the Miller Mine in Montana
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4652/253542_47500fa76474fbce_002full.jpg
The Miller Gold Mine is located in the Broadwater County in the State of Montana, USA. The mine is approximately 29 miles northeast of Townsend in Montana USA. The presence of gold mineralization has been confirmed by previous sampling in areas of the mine where access is possible. Transatlantic is earning into the historic Miller Gold Property by means of a gold production royalty near Helena, Montana.
A historical Report on the Miller Mine notes that historically, gold bearing ore was mined on a small scale by individual owners with sporadic production between 1901 and 1948. The mine is being re accessed by Transatlantic to review existing ground conditions and infrastructure for ongoing rehabilitation.
Located at the top end of the Confederate Gulch near what is now a ghost town in Diamond City ,of which had once a population of + 10,000. Placer gold was abundant and rich in this Gulch.
- Miller had an average recovered mine grade of 7.94 Oz /ton Au (248 g/t Au ) and 4.65 Oz /ton Ag ( 145 g/t Ag)
- Hole #1 was drilled 300 feet below the lowest recorded workings and recorded 14.7 Oz /ton Au (516 g/t Au)
The Miller Mine mineralization occurs in quartz veins within and on the contact of a quartz granodiorite stockwork. The discrete veins dip between 30 and 80 degrees whilst the stockwork has multiple veinlets that range in width from a few cms to 2 metres. The contact zone of alteration has been noted as over 15 m wide ( 50 feet ). Mining has been undertaken on both an open cut and underground methodology. The mine is at an elevation of 2000 m ( 6650 feet)
Highlights of previous sampling ( see news release dated June 14, 2023)
Miller Mine -Lower Level
- Opened up Lower Winze Level immediately below the Lower Level.
- First grab samples from Lower Level Winze include 27. 6 g/t Au(*), visual gold has also been observed.
- Extended Lease Agreement to first renewal term with option to purchase by production royalty.
About the Miller Mine and Claim Group:
Transatlantic has access to the Upper and Lower Level of the mine. The Miller Mine is situated amongst patented and unpatented claims at an elevation of 1920 m (6,400 feet) and accessible by roads 50 miles from Helena, Montana USA. Should mining occur at any time, an 8.5 % royalty on ounces is to be paid. During the term of the agreement, the Company may purchase the property for US $4,500,000, less the royalty payments made above, with a perpetual 1 % NSR to the vendor thereafter.
The gold and silver mineralization generally occurs on the contacts of sediments and igneous intrusive with native gold and sulphides including pyrite often observed amongst the 4 known adits located on the property.
Qualified Person and NI 43-101 Disclosure
Aslam Awan PhD MAusIMM (CP Geo) is the Qualified Person pursuant to National Instrument 43-101 for having reviewed, only the technical information contained in this news release. Mr. Awan is the Principal for AAA Geo Consultants.
QA/QC and Core Sampling Protocols
(*)The rock chip samples are grabs from the winze level drive of 5 kg in weight. The samples were crushed in whole to plus 70 % passing 2 mm and then split and pulverised with analysis for gold and silver at the Christofferson Laboratory, Smelterville, Idaho USA. The Laboratory is an independent assay and umpire laboratory that follows industry techniques. The samples after being pulverised are analysed with a 15 to 30 gram fire assay charge and gravimetrically finished.
About Transatlantic Mining Corp.
Transatlantic Mining (TSXV: TCO) is an emerging precious and base metal explorer. The Company has a focus on converting projects into mines within stable mining jurisdictions. The Company currently has property interests including an 80% Joint Venture position on the Monitor Copper-Gold project in Montana-Idaho (USA) and 100 % of the Golden Jubilee Gold Project with its associated mining rights. The Company has an extended lease, right to mine and purchase arrangement for the Miller Gold Mine in Montana to 100% ownership by way of payment royalty.
ON BEHALF OF THE BOARD OF DIRECTORS
"Bernie Sostak"
For more information contact
eeinarson@transatlanticminingcorp.com
604-614-8469
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 or accuracy of this release
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/253542
FAQ**
How does the successful completion of the First Renewal term impact the financial stability and growth potential of Transatlantic Mining Corp. TCO:CC in the current mining landscape?
What are the implications of the confirmed gold mineralization at the Miller Mine for Transatlantic Mining Corp. TCO:CC's future drilling and exploration strategies in Broadwater County, Montana?
With the recent drill permit received for the Miller Mine, what are the key milestones Transatlantic Mining Corp. TCO:CC aims to achieve during the Second Renewal term to enhance investor confidence?
How do the historical production records from the Miller Mine influence the valuation and market perception of Transatlantic Mining Corp. TCO:CC as it progresses with its exploration plans?
**MWN-AI FAQ is based on asking OpenAI questions about Transatlantic Mining Corp. (TSXVC: TCO:CC).
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