SOURCE: Unico, Inc.

May 01, 2007 08:55 ET

Unico, Inc. Announces Extension of Deer Trail Mine Lease and Option to Purchase With Crown Mines, LLC

Payment of Additional $300,000 Applied to Buy-Out Option

SAN DIEGO, CA -- (MARKET WIRE) -- May 1, 2007 -- Unico, Incorporated (OTCBB: UCOI), a natural resource company in the precious metals mining sector, today announced an agreement with Crown Mines, LLC to extend the lease and purchase option of the Deer Trail Mine for its wholly owned subsidiary, Deer Trail Mining Company, LLC. The terms of the modified lease and option to purchase agreement include an additional $300,000 payment, which was paid on April 30, 2007 and applied to the total purchase price of the lease buy-out option. The modified agreement also includes an extension of the final payment due date for the remaining $1.7 million to purchase the Deer Trail Mine lease from January 31, 2007 to May 31, 2007.

The $300,000 payment was applied directly to the $4,000,000 purchase price of the Deer Trail Mine lease. In early September 2004, Unico made a payment of $1,000,000 to Crown Mines, and an additional $1,000,000 in subsequent payments since November 1, 2006, plus an additional $300,000 paid on April 30, 2007, leaving a final balance of $1,700,000 to fully exercise the purchase option of the lease.

The mining lease and option to purchase between Unico, Inc. and Crown Mines, LLC, dated December 12, 2001, was adjusted through a first modification of mining lease and option to purchase, dated May 31, 2004, a second modification of mining lease and option to purchase, dated April 21, 2006, and a third modification of mining lease and option to purchase, dated November 1, 2006.

In the period since Unico entered into the third modified lease agreement with Crown Mines, there has been significant progress in the efforts to develop long-term value for Unico stockholders. Reconstruction of the mill and processing facility at the Deer Trail Mine, which includes significant improvements designed to increase both the efficiency and capacity of the facility, has entered the completion stage. There has been activity in other areas of the site as well, including preparations for the construction of a new electrical substation that will supply power to the Deer Trail Mine and the re-initiation of screening activity to prepare feed material for the mill once reconstruction is complete and the power connections have been established.

Independent geological analysis of core samples taken from the underground diamond core drilling program conducted at the Deer Trail Mine in 2005 has been completed under the supervision and oversight of mining consultancy firm Behre Dolbear and Company (USA), Inc. The last group of samples were logged, split, bagged, and tagged at the Deer Trail site and have been shipped to the ALS Chemex lab in North Vancouver, British Columbia for assay. A Final Summary Report will be completed and submitted to Unico by Behre Dolbear.

"With so much activity occurring on site, we are very pleased to have reached this agreement with Crown Mines to extend the lease and option to purchase for the Deer Trail Mine," said Mark A. Lopez, chief executive officer of Unico, Inc. "There has been progress in virtually every area of our operations at the Deer Trail project, from the continuing mill reconstruction and screening work to the ongoing analysis of the core samples taken from our underground diamond core drilling program. We look forward to making the final payment by the May 31 due date so that we can secure this property as a long-term asset for both the company and its shareholders."

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About Unico, Inc.

Unico, Inc. (OTCBB: UCOI) is a publicly traded natural resource company in the precious metals mining sector that is focused on the exploration, development and production of gold, silver, lead, zinc, and copper concentrates at its three mine properties: the Deer Trail Mine, the Bromide Basin Mine and the Silver Bell Mine. The company has recently announced agreements to acquire over 70 additional mining claims. For more information, please visit

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