Dutch Gold Resources, Inc., a developer and operator of proven gold mines and a regional mill in North America, today announced that it has entered in a Memorandum of Understanding to merge with Aultra Gold Resources, Inc. (OTC BB:AGDI.OB – News), a junior gold mining and exploration company with properties in Montana and Nevada.
Dan Hollis, Chief Executive Officer of Dutch Gold Resources, stated, “We are excited about the projects that Aultra brings, but are equally enthusiastic about the background of its management team. In addition to the extensive assets we plan to acquire, we are excited to welcome Rauno Perttu to our senior management team. Rauno brings over 40 years of mining and exploration expertise, having worked both with large companies like Kennecott and successful entrepreneurial endeavors. Rauno also brings experience in the specific geology of Oregon, and will act as the Senior Geologist for all of our properties following the merger.”
Mr. Perttu is a registered engineering geologist. In his 40 years of experience, he has worked internationally in all phases of minerals and metals exploration, evaluation, and development. He has worked with and managed projects and programs from the initial conceptual stage, through acquisition, discovery, and development. His career has included positions with Pacific Power & Light, Gulf Minerals, and Kennecott, where he was Coal Manager and Director of Business Development. He has consulted on and directed exploration and evaluation programs in North and South America and Australia. These programs primarily involved gold, molybdenum, coal, uranium, geothermal energy and industrial minerals.
As President of Aultra Gold, he acquired one of his discoveries, the Basin Gulch gold property in Granite County, Montana, and a newly recognized gold target at Jungo, in Humboldt County, Nevada.
The Basin Gulch property represents a large gold system on which, to date, 323 drill holes and 17,000 feet of trenching have been completed. The gold system is associated with a large mineralized diatreme complex that remains unexplored at depth.
At Jungo, Aultra has identified strong gold mineralization over a strike length of approximately 2,000 feet. Aultra believes that the mineralization represents the shallow portion of a hot springs associated gold vein system that appears to extend under cover beyond its currently identified extent. Aultra has conducted preliminary limited trenching on the system, and has permitted a series of drill holes.
Commented R. Perttu, “This merger will combine the resources of two exciting gold mining and exploration companies, and we look forward to benefiting from the financial and operational skills and proven experience of Dan Hollis. We believe that there are going to be exceptional opportunities in the near term to acquire projects that bring value to our combined stakeholders. This transaction should be positive for the shareholders of both companies.”
Mr. Hollis noted, “This combination meets the three main strategic initiatives for Dutch Mining: attract highly experienced industry executives to build out our core management team; begin to develop a portfolio of projects that that can either be rapidly developed to production or have significant potential, in industry-friendly states; and provide opportunities to leverage our existing resources.”
Final terms and conditions are subject to due diligence and approval by the Boards of Directors of each company. The final Share Exchange Agreement will be drawn upon completion of due diligence, and regulatory approvals as required. Closing is anticipated by year-end 2008.
About Dutch Gold Resources, Inc.
In January 2007, Dutch Gold Resources, Inc. acquired Dutch Mining LLC, which was founded in 1994. Dutch Gold is engaged in the mining and processing of proven gold reserves in North America. The company’s strategy is to focus on overlooked resources that can be quickly and cost-efficiently brought into production. The Company currently owns two mines in Southwestern Oregon, consisting of the Benton and Gold Bug mines. Production resumed in March 2007 and the Company has begun a drilling program to prove up additional reserves and enhance future production. Please visit the Company’s website for additional information at: www.dutchgoldresources.com.