TintinaGold Resources Inc.

TintinaGold Resources Inc.

May 04, 2010 09:00 ET

TintinaGold Enters Into Mining Lease Agreements for the Sheep Creek Property in Montana, a Copper-Cobalt Project

 VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 4, 2010) - TintinaGold Resources Inc. ("TintinaGold" or "the Company") (TSX VENTURE:TAU) is pleased to announce that its wholly owned subsidiary, Mantra Alaska Exploration, Inc., has entered into mining lease agreements and a surface use agreement (collectively, the "Sheep Creek Agreements") with the owners of the Sheep Creek copper-cobalt property in central Montana, USA.

The Sheep Creek Agreements provide the Company, through its subsidiary, with exclusive use and occupancy of any part of the property that is necessary for exploration and mining activities for an initial term of 30 years, which can be extended by TintinaGold for additional periods of 10 years in certain circumstances. The Sheep Creek Agreements provide for surface lease payments and, prior to commercial production, advance minimum royalty payments to be paid to the lessors, in cash, and a net smelter returns royalty of 5% after commencement of commercial production, if any. The Company has the right to buydown this royalty to 2% at any time after completion of a feasibility study by making payments to the lessors totaling $10,000,000.

The Sheep Creek property consists of approximately 4,714 acres of fee - simple lands in central Montana. The property contains sediment - hosted zones of massive sulfide mineralization originally explored by Cominco American Inc. and BHP during the 1980's and early 1990's. The drilling undertaken by Cominco American Inc. and BHP had encountered significant zones of stratabound copper sulfide with cobalt in multiple bedded pyrite zones in the lower part of the Precambrian Belt/Purcell Supergroup; this same stratigraphic unit hosts the Sullivan zinc-lead-silver deposit. The Company is planning a $500,000 drilling program at the Sheep Creek Project in the fall of 2010.

Jerry Zieg, Vice President Exploration for the Company, is a Qualified Person for the purposes of National Instrument 43-101 and has reviewed and approved the information of a scientific or technical nature contained in this news release.

About TintinaGold

TintinaGold is a growth company focused on the exploration and development of precious and base metals properties around the world. The Company's experienced management team has assembled an impressive portfolio of gold and base metal projects in Alaska, including the Colorado Creek gold project, located in southwest Alaska approximately 100 miles northwest of the 40 million ounce Donlin Creek project and the Kugruk copper project located 70 miles north of Nome in the northern Seward Peninsula, Alaska. The Company, in a short period of time, has successfully become one of the most significant gold and base metal explorers in the Tintina Gold Belt – one of the most exciting and prolific gold belts of the world. 


Raj Chowdhry, C.A., President & CEO

Cautionary Note Regarding Forward-Looking Statements: Certain disclosure in this release, including statements regarding the Company's plans for and intentions with respect to exploration of the Sheep Creek property, constitutes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company is able to obtain any required government or other regulatory approvals and any required financing to complete the Company's planned exploration activities, that the Company is able to procure equipment and supplies in sufficient quantities and on a timely basis and that actual results of exploration activities are consistent with management's expectations. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors relating to TintinaGold's operation as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks may include, among others, actual results of the Company's exploration activities being different than those expected by management, uncertainties involved in the interpretation of drilling results and geological tests, delays in obtaining required government or other regulatory approvals or financing, inability to procure equipment and supplies in sufficient quantities and on a timely basis, the need for cooperation of First Nations groups, equipment breakdowns and bad weather. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. TintinaGold does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

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.

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