SOURCE: Gemini Explorations, Inc.

March 02, 2009 08:30 ET

Gemini Explorations, Inc. Announces Near Term Goals and Updates Tentative Production Estimates for Its La Tapata Gold Mine Project

CALGARY, AB--(Marketwire - March 2, 2009) - Gemini Explorations, Inc. ("Gemini") (OTCBB: GXPI) is pleased to announce an outline of its near-term 2009 goals for its La Tapata Gold Mine project. The first of four primary objectives is, as discussed in a recent news release, to conclude negotiations with one of two joint venture prospects and execute a JV agreement, which will serve to expedite the accomplishment of the transition of La Tapata into a profitable production gold mine.

Secondly, as part of the process to place the mine into operation, to carry out the last of the geological/mineralogical surveys required to finalize decisions necessary to develop the details of the plan to maximize the cost effectiveness of the actual production and processing operation. Thirdly the decision to determine the economic viability of selecting the more sophisticated approach to processing which would allow for the production of silver, copper and lead in addition to gold. Also to be finalized is the previously announced pending purchase of two adjoining mining concessions which will add significantly to the potential resource base of the mine.

In a prior news release, the company's geologist provided tentative income estimates for the mine based on ore production volumes of 50 and 100 tonnes per day at what he felt was a conservative average grade of 12 grams of gold per tonne. Utilizing a currently conservative value of $900 per oz. for gold and a conservative cost of extraction, processing and general operating expenses of $200 per oz., gross operating profits for 12grams per tonne at a production rate of 50 tonnes per day and 300 working days per year, would total $4,063,500 at La Tapata. Increasing production to 100 tonnes per day with all other factors unchanged would result in a gross operating profit of $8,127,000. As Gemini currently owns an 80% interest in La Tapata, the company's share of these gross operating profits would respectively be $3,250,800 and $6,501,600.

"While the road to bringing La Tapata into production has been longer than anticipated," commented Michael Hill, CEO of Gemini, "we are working diligently and making progress in our effort to turn La Tapata into a profitable operating mine."

Notice Regarding Forward-Looking Statements

This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the expectation that the proposed joint ventures will be completed, the expectation that additional concessions adjoining La Tapata will be acquired and close on specified dates and the expected completion date of the redevelopment of the La Tapata Gold Mine project. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include among others, the inherent uncertainties associated with mineral exploration and mine development. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-KSB for the 2007 fiscal year, our quarterly reports on Form 10-QSB and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

Contact Information

  • Michael Hill
    President & CEO
    Gemini Explorations, Inc.
    Suite 103, 240-11th Ave SW
    Calgary, AB T2R 0C3