SOURCE: Franklin Mining, Inc.

March 08, 2007 09:51 ET

Franklin's Partnerships in Bolivia and Argentina Are First of Their Kind

Historic North American Gold Mining Company Quietly Reinvents Itself in South America

LAS VEGAS, NV -- (MARKET WIRE) -- March 8, 2007 -- Franklin Mining, Inc. (PINKSHEETS: FMNJ) can trace its history to the original Franklin Mines and Franklin Mill which began operations in Clear Creek County, Colorado as early as 1860 -- just twelve years after gold's discovery at Sutter's Mill and the beginning of the California Gold Rush.

Nearly 150 years later, Franklin continues making history in the mines of Bolivia and the gas fields of Bolivia and Argentina.

Bolivia's Cerro Rico and Pulacayo Silver Mines

Franklin's wholly owned subsidiary, Franklin Mining, Bolivia S.A, became the first North American company to be awarded a joint-venture mining agreement by COMIBOL since 1954; the company is COMIBOL's partner in an agreement to reinvigorate the historic Cerro Rico de Potosi, universally recognized as the world's single most productive silver mine.

A second Franklin/Empresa Rolando/COMIBOL partnership will process tailings from the Pulacayo Silver Mine, Bolivia's second largest silver mine. A pilot plant is being relocated from La Paz to Pulacayo and scheduled to be on-site within four weeks.

Gas-to-Liquid Partnerships in Bolivia and Argentina Will Ease Need for Imports

Franklin Oil and Gas, Bolivia S.A. has signed a Memorandum of Understanding with YPFB to construct and operate a 10,000 barrel per day gas-to-liquid processing plant.

Franklin Oil and Gas, Argentina S.A. has an agreement for construction and operation of a 10,000 barrel per day gas-to-liquid processing plant in the Province of Tierra del Fuego. Signed by Governor Hugo Cocarro, the agreement is supported by a 25 year guarantee of the required natural gas resource issued on November 16, 2006 by Cristian A. Folgar, Argentina's National Undersecretary of Fuels.

Both plants are designed to help their respective countries begin easing their dependence on imported diesel fuel. In addition to stimulating economic development in the local area, the plants will eventually generate fuel and other products available for export.

The location for each plant has been identified but not yet announced; construction financing is being arranged to provide initial investments up to $325 million USD for each facility. Fully operating plants will result in immediate cash flow from daily deliveries of diesel fuel.

Colorado's Idaho Springs and Central Mining District

Both the Idaho Springs and Central Mining Districts were discovered around 1860. It has been estimated that these areas combined to produce in excess of five million ounces of gold and substantial amounts of silver, copper, lead and zinc during this period. Mining ceased in both districts around 1920.

However, the US Geological Survey indicates that the base of the mineralization has not been found in either District. This means the mineralization in veins found throughout the region may continue to great depths. Modern mining techniques could make it possible for many of the mines that helped produce five million ounces of gold in the 19th Century to be profitably mined in the 21st Century.

Mining and Energy Combine to Bring Promise to Franklin's Future

Mining is a crucial part of Bolivia's history; natural gas is an abundant resource; and, both are playing pivotal roles in President Evo Morales' plan to reinvigorate Bolivia's economy.

Each of the Pulacayo's 4 million tons of tailings is estimated to contain .7 grams of gold and 53.3 grams of silver. With current gold and silver prices promising to remain stabile, cash flow to the Franklin, COMIBOL partnership from processing tailings will be substantial.

COMIBOL's estimated silver, tin and zinc reserves in the five announced veins and branches of the Cerro Rico Silver Mine have current market values of approximately $2.2 Billion USD.

GTL plants in Bolivia and Argentina are designed to alleviate each country's need to import diesel, a basic requirement throughout South America. With one plant in each country, and each plant producing 10,000 barrels per day, Franklin Mining, Inc. will be the first company to operate GTL processing facilities of any significant size in any South American country.

Additional information on Franklin Mining, Inc. history and current projects is available at www.franklinmining.com.

About Franklin Mining, Inc: Franklin Mining, Inc. has mining and exploration interests in the United States, Argentina and Bolivia; Franklin Mining, Bolivia S.A. is a wholly owned subsidiary. Franklin Mining, Inc. holds 51% ownership in both Franklin Oil & Gas, Bolivia S.A. and Franklin Oil & Gas, Argentina S.A.

DISCLOSURES: "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements that are subject to risk and uncertainties, including, but not limited to, the impact of competitive products, product demand, market acceptance risks, fluctuations in operating results, political risk and other risks detailed from time to time in Franklin Mining, Inc.'s filings with the Securities and Exchange Commission. These risks could cause Franklin Mining, Inc.'s actual results to differ materially from those expressed in any forward-looking statements made by, or on behalf of, Franklin Mining, Inc.

For further information, please visit our website (www.franklinmining.com) or contact our Investor Relations firm, A. Austin & Company, 1-702-386-5379.

Contact Information

  • Contact:
    Investor Relations firm
    A. Austin & Company
    1-702-386-5379