Mosquito Consolidated Gold Mines Limited
TSX VENTURE : MSQ

Mosquito Consolidated Gold Mines Limited

July 09, 2007 09:00 ET

Mosquito Acquires Diamond Drilling Company

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 9, 2007) - Mosquito Consolidated Gold Mines Limited (TSX VENTURE:MSQ) wishes to announce the acquisition of a 100% interest in Kirkness Diamond Drilling Inc. of Carson City, Nevada. Under the terms of agreement the purchase price is US$3,000,000 payable as follows:

1. $100,000 deposit

2. $900,000 on TSX.V Exchange approval.

3. $2,000,000 within 60 days of approval.

Kirkness Diamond Drilling Inc. is a well established drill contractor with an extensive history of providing core drilling services throughout the Western United States since 1991. The drill fleet of Kirkness includes both underground and surface drills capable of supplying a wide range of drilling services to the mineral exploration industry.

The North American mining exploration industry currently suffers from a major lack of drilling services. In the past year Mosquito has been frustrated in obtaining the services of drilling contractors to fulfill its exploration program requirements. The acquisition of Kirkness Drilling is of extreme strategic significance in the ongoing exploration of Mosquito's projects in the United States.

Mosquito will incorporate its own drills into the Kirkness drill fleet; these include an EF-50 core diamond drill, an air rotary/reverse circulation drill and a new Atlas Copco CS-14 core drill scheduled for delivery this week. The combined Mosquito/Kirkness drill fleet will be able to supply all drilling requirements of Mosquito in the foreseeable future. Kirkness will also continue to operate as a drilling contractor in the western United States.

Drilling is to commence shortly at the CUMO project as the first of two diamond drills has arrived on site at the CUMO Project with a second drill scheduled for start-up in mid-July.

At Pine Tree hole PT07-11A has been completed to a depth of 2009 feet (612.3 meters). The hole encountered molybdenum bearing mineralization from 636 feet (193.8 meters) to 2000 feet (609.6 meters). Samples are currently at ALS Chemex of Reno Nevada for analysis.

In other work mapping and detailed continuous surface chip sampling has begun on the Copper Chief project located 4 miles north of Pine Tree. Work will commence shortly on mapping and sampling at the Blackpoint Au and the Spring Creek Molybdenum-silver projects

Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo., Director of Mosquito is the designated qualified person and prepared the technical information contained in this news release.

On Behalf of the Board

MOSQUITO CONSOLIDATED GOLD MINES LTD.

Brian McClay, President

This news release was prepared by management who takes full responsibility for its contents.

The TSX-Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Mosquito Consolidated Gold Mines Limited
    Brian McClay
    President
    (604) 689-7902
    (604) 689-7816 (FAX)
    Website: www.mosquitogold.com