MPM Technologies, Inc. Subsidiary Enters JV Agreement
06 May 2010 - 1:26AM
Business Wire
MPM Technologies, Inc. (OTCBB:MPML) announced that its wholly
owned subsidiary MPM Mining Inc has entered into a Joint Venture
Agreement with Forbes Financial Group to develop the company’s
mining properties.
The agreement calls for the parties to create a new holding
company, with MPM Mining owning 55% and Forbes Financial Group
owning 45%. MPM Mining will contribute 300 acres of patented and
unpatented claims in the Emery District, known for past gold and
silver mining operations, an existing 200tpd mill and approximately
$1.8 million in operating equipment.
Forbes Financial will provide not less than $5,000,000 of
initial financing to commence operations. Forbes will do so via
coordinating development of a related corporate bond issuance.
The property has a significant gold-silver resource in the
mining stockpiles and dumps which remain from historic mining on
the property. There have been at least 5 exploration drilling
campaigns on the Emery property over the past 25 years. The focus
of these programs was to expand the indicated resources in the
District. Drill results showed a resource of approximately 100,000
ounces of gold and 1.6 million ounces of silver. Additional work
will be done in Phase 4 of the program, as outlined below, to
further prove up this resource and expand the potential
reserves.
In December 2009 MPM Mining announced it had begun a 4-Phase
Mining Plan.
- Phase 1; which included the
schedule and cost estimates for running the Emery Dump Sales was
completed in February. Phase 2; includes dump pile sampling,
metallurgical testing, permitting, mill negotiations and drilling
in the dump piles to convert the indicated resource to a measured
resource.
- Phase 3; is comprised of
operations including dump removal, milling and ore sales.
- Phase 2 and 3 will begin in the
2nd quarter of 2010. Phase 4; will include expansion, upgrading the
company’s 200 ton per day mill and to initiate exploration,
development and drilling across the company’s properties to prove
up further gold and silver reserves. This phase in part will run
parallel during the latter stages of Phase 3.
MPM CEO Michael J. Luciano stated, “We are pleased to joint
venture with a sophisticated investment group such as Forbes
Financial Group LLC. This will enable us to start with our original
plan, while simultaneously revamping the existing mill to current
standards, and increasing the resource via drilling and mapping
further reserves that all geologists have indicated are available.
MPM and Forbes are both excited to work together in a powerful
joint venture that will be mutually beneficial to both parties and
great for our loyal shareholders”.
“Our long term strategy targets acquiring and/or joint-venture
(“JV”) with undeveloped, “Junior Mining” properties with gold,
silver and zinc resources/reserves offering minimal funding,
existing permits to ensure expediency to production. Tactically, we
identify rich deposits from previously mined locations or with
proven resource/reserves to acquire interests and/or claims with
the objective of being operational within 6-12 months,” stated
Steve Forbes, President of Forbes Financial Group LLC.
MPM Technologies, Inc is a holding company with three
subsidiaries: MPM Mining Inc., an exploration and development
company with gold and silver mining properties in Montana, Nupower
Inc, which is engaged in the development and commercialization of
Skygas™ a unique electrokinetic process that converts solid and
semisolid carbonaceous wastes into a clean-burning synthesis gas
and AirPol, Inc. which builds, installs and services industrial air
pollution control systems. Find more information at:
www.mpmtech.com.
Forbes Financial Group LLC is a private, independent consulting
and investment company providing corporate advisory services,
focusing on business operations consulting, capital raisings,
preparations for Offering Circulars and investment opportunities.
The firm specializes in Business Plan Development, Strategies and
Tactical Deployments, Capital Raising for companies seeking to
raise debt, equity and equity-linked securities, and providing
financial advisory services for a variety of corporate finance
transactions including capital structure strategies, mergers,
acquisitions and restructurings. Find out more information at:
www.forbesfinancialservice.com.
Statement Under the Private
Securities Litigation Reform Act.
With the exception of the historical information contained in
this release, the matters described herein contain forward-looking
statements that involve risk and uncertainties that may
individually or mutually impact the matters herein described,
including but not limited to, product acceptance, economic,
competitive, governmental, results of litigation, technological
and/or other factors which are outside the control of the
company.
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