Aug 19 2015
Star Mountain Resources, Inc. (the "Company"), a minerals exploration company focused on acquiring and consolidating mining claims, mineral leases, producing mines, and historic mines with production and future growth potential identified through exploration efforts, today announced it is continuing its active pursuit of merger and acquisition opportunities for mines, advanced projects and immature projects that are available at opportunistic costs during the current mining cycle downturn.
"As part of our strategy to strategically position ourselves for the inevitable upturn in the commodity markets, we are presently pursuing the previously announced acquisition of an underground base metal mine located in North America subject to completion of financing," stated Joseph Marchal, CEO of Star Mountain Resources. "The mine is permitted and in compliance with current Federal and State mining regulations and is on care and maintenance status. We intend to upgrade and modernize certain infrastructure systems, develop additional access to existing mining areas and restart production at this mine within 6 to 9 months."
Marchal continued, "Based on data provided to us during our due diligence on this proposed acquisition, we believe that the base metal mine opportunity presents to us the possibility of outstanding cash flows in the near term, showing a viable net present value and an attractive internal rate of return. By completing this acquisition and raising the capital needed to complete it, we expect to meet the listing requirements for a national stock exchange. We believe that an up-listing to a national stock exchange will further enhance our efforts to raise additional capital needed to identify and complete the acquisition of other quality properties and projects."
The decrease in commodity prices has created an environment for opportunistic quality projects at competitive prices. Management is fully committed to accessing the capital markets, seek up-listing to a national securities exchange and coupled with the mining experience of its leadership team, the company is well positioned to recognize quality acquisition opportunities and to operate those acquisitions profitably.
Source: http://www.starmountainresources.com/