SOURCE: Unico, Inc.

Unico, Inc.

August 04, 2009 09:44 ET

Unico, Inc. Announces Initial Agreement With Royal Mines And Minerals Corp. for Processing of Gold and Silver From the Deer Trail Mine

SAN DIEGO, CA--(Marketwire - August 4, 2009) - Unico, Incorporated (OTCBB: UNCO), a natural resource company in the precious metals mining sector, today announced an initial agreement with Royal Mines And Minerals Corporation to process ore from the Deer Trail Mine in Marysvale, Utah. Royal Mines And Minerals Corporation, which is publicly traded under the symbol RYMM, operates a processing facility in Phoenix, Arizona that utilizes a proprietary technology for the lixiviation of precious metals.

Under terms of the agreement, Unico will deliver a minimum of 15 tons of crushed ore or concentrates per week or approximately 60 tons per month to Royal Mines' Phoenix facility for the processing of precious metals including, but not limited to, gold and silver. Payment to Unico will be based on the day of deliveries Kitco spot price (www.kitco.com) and will be made within 10 business days of processing of materials. Unico may also, at its option, elect to receive payment in the form of product. If so, payment will be in the form of Dore bars, which are to contain a minimum of 99% percent precious metals. Payment in Dore form is to be made within 30 days of processing of materials. The one-year agreement may be extended for an additional period of time or modified by mutual agreement of the parties.

In May 2009, Unico, Inc. announced the first of several shipments of concentrate samples produced at the Deer Trail mill facility in Marysvale, Utah, to Royal Mines' Phoenix facility for the processing of gold and silver content. On July 16, 2009, Unico announced the shipment of 21 tons of sulfide concentrate, which was produced from approximately 200 tons of material taken from the 3400 area of the Deer Trail Mine. As a result of these shipments, Royal Mines has received over 23 tons of material from the Deer Trail Mine.

The testing of samples and shipments of concentrate for processing is part of Unico's pursuit of alternative processing methods for the extraction of silver and gold from concentrate at the Deer Trail Mine. The purpose of this initiative is to develop the most economical process and achieve the highest recovery of precious metals possible from material produced at the site.

"Through the process of testing samples and shipping the first 23 tons of concentrate from the Deer Trail Mine, we have established a very effective working relationship with Royal Mines And Minerals, and we are pleased to take our relationship to the next step with this ore processing agreement," said Mark A. Lopez, chief executive officer of Unico, Inc.

"This initial agreement is not the sum total of our expectations for the processing of gold and silver from the Deer Trail Mine. We expect to expand this agreement to include larger weekly shipment amounts as we continue to broaden our relationship with Royal Mines And Minerals. The processing of precious metals content from the Deer Trail Mine is an important element of Unico's revenue model, and given the realities of current metals pricing, this is an ideal time to move forward with an ore processing agreement for gold and silver," Mr. Lopez added.

More information on Royal Mines proprietary technology for the lixiviation of precious metals can be found at its website, www.royalmmc.com. Royal Mines And Minerals Corporation is publicly traded under the symbol RYMM.

Shareholders who would like to sign up to receive information by email directly from Unico, Inc., including when newsletters are posted to the company website, are asked to visit the company's website at http://www.unicomining.com/IR/mailinglist.php and fill in the appropriate fields.

About Unico, Inc.

Unico, Inc. (OTCBB: UNCO) 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 two mine properties: the Deer Trail Mine and the Silver Bell Mine. The company has also announced agreements to acquire over 70 additional mining claims including the Clyde and Crown Point mining claims. In August 2007, Unico announced that its wholly owned Deer Trail Mining Company subsidiary had completed the purchase of the Deer Trail Mine from Crown Mines, LLC. For more information, please visit www.unicomining.com.

Forward-Looking Statements: This news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and such Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are subject to risks and uncertainties that could cause actual results to vary materially from those projected in the forward-looking statements. The company may experience significant fluctuations in operating results due to a number of economic, competitive and other factors. These factors could cause operation results to vary significantly from those in prior periods, and those projected in forward-looking statements. Information with respect to these factors, which could materially affect the company and its operations, are included on certain forms the company files with the Securities and Exchange Commission.

Contact Information

  • Contact:
    Gemini Financial Communications, Inc.
    Investor Relations
    951-677-8073
    Email Contact