NEW YORK, NEW YORK -- (Marketwire) -- 12/08/10 -- Strategic Mining Corporation (PINK SHEETS: SMNG) is pleased to provide its shareholders with a review of the company's accomplishments in 2010 and a look ahead to its plans for 2011.
"Our company has built up strong momentum as we head down the final stretch of 2010," said Strategic Mining President Todd Sterck. "Based on the many initiatives we have undertaken, we expect to make further exciting announcements about our progress before the year is over."
Corporate Business Model
Strategic Mining Corporation remains fully committed to its strategy of pursuing rapid growth through strategic partnerships and acquisitions of near-term production gold properties. Our approach is to build clusters of mine holdings in close geographic proximity in order to efficiently target known deposits and benefit from economies of scale. Through improvements in mechanization and processing, we seek to quickly increase production levels and generate sustainable corporate value.
Our company is engaged in exploration and development of gold properties in U.S., Africa and Vietnam, with our primary focus being our newly acquired Nat Son gold property in northern Vietnam.
-- Acquired a prospective northern Vietnamese gold property called Nat Son that is located in the center of the gold-rich Kim Boi deposit but has never been explored through the use of modern equipment and techniques. -- Made history as the first western company to receive a mining license in northern Vietnam in more than 50 years. -- Appointed Todd Sterck, an experienced senior U.S. mining executive who served previously as a director of a Vietnamese mineral resources company, as president and director. -- Strengthened the company management team with appointment of Ian Lambert, who has 39 years of experience in the public markets, including 19 years in the Canadian mining sector, as a director. -- Appointed a team of three prominent geologists to the company's management team. -- Arranged for the company to utilize, in early 2011, a state-of-the-art angular drill rig to enhance exploration of its Nat Son gold property. -- Filed a Form 10 and requested amendments with the Securities Exchange Commission (SEC) as part of the process of moving to the OTC Bulletin Board. -- Launched a new corporate website at www.strategicminingcorp.com to enable our shareholders to easily access important company information. -- Added an Investor Alerts page to enable shareholders to receive company news as soon as it is announced.
Outlook for 2011
Nat Son Gold Property
We look forward to a dynamic and exciting year in 2011. On November 16, 2010, our company completed its acquisition of the Nat Son gold property. Located in Hoa Binh province about 50 kilometers south west of Hanoi, the property and surrounding region were extensively explored by French miners from the 1890s until their expulsion from Vietnam in 1954. From that time, no further exploration was permitted on the site until June 2009, when Strategic Mining's Vietnamese joint-venture partner, Ba Dinh Minerals JSC, of Ho Chi Minh City, secured a mining permit.
Our exploration interest in the property derives from its location in a historic gold-producing region and the presence of, according to consulting geologist Robert D. Marvin's geology and mineralization report, economical gold and silver values in a quartz-arsenopyrite vein system, exposed at surface and within rudimentary underground mine workings. The veins have been examined and studied over a strike length of four kilometres. Additionally, the company has received assay reports from three independent labs and a NI 43-101 report that indicated Nat Son was a "Property of Merit." Based on the available evidence, we believe the company has a unique opportunity to significantly increase gold production at the site through the application of modern equipment and techniques.
To this end, we plan early next year to utilize a state-of-the-art Boart Longyear LF 70 diamond core angular drill rig in our drill program. This will be the first diamond core angular drill rig to operate in Hoa Binh province. The Boart Longyear LF 70 is a modular, lightweight exploration rig designed for drilling in remote locations. Importantly, the rig's angled drilling capacity will enable us to target projected below-surface vein extensions with a high degree of precision. Following the recommendations of the site geology report, our initial drill program will consist of 13 core holes at depths up to 500 meters. This exploration work will represent the first depth testing of the identified ore-bearing veins at Nat Son. Given positive assay results, we plan to initiate mining operations in the second half of 2011.
Strong Vietnamese Government Support
In support of our planned exploration and development efforts at Nat Son, the government of Hoa Binh province has already constructed access roads to the site, installed electrical and water services and built worker accommodations. In further demonstrations of support, the government has granted us special "no tax status" for all imported mining equipment and appointed full-time staff to assist in the importation of our drill rig and other equipment. Advancing into 2011, we anticipate continued strong government backing. Specifically, the People's Committee of Hoa Binh Province has committed to helping us fulfill all other provincial requirements related to the mining property's exploration and development.
Across northern Vietnam, there are numerous prospective gold properties that, like Nat Son, have never been explored or developed using modern technology and processes. In conjunction with our Vietnamese partner, Ba Dinh Minerals, we have benefitted from a privileged, first-mover opportunity to evaluate a number of available properties, and we are currently in various stages of acquisition discussions.
Move to OTC Bulletin Board
On April 30, 2010, Strategic Mining filed a Form 10 with the SEC as part of its planned move from the Pink Sheets to the OTC Bulletin Board. Subsequently, Strategic Mining has responded to the SEC's iterative review process by filing three Form 10 amendments. We initiated the move to the OTC Bulletin Board in order to create increased awareness and confidence in our company, provide improved transparency as a fully reporting company and make it easier for investors to buy and sell the our stock.
You may view all of our Form 10 SEC filings as well as our 10Q and 8K SEC filings on our company website at www.strategicminingcorp.com. We hope to commence trading on the OTC Bulletin Board in the first quarter of 2011.
ON BEHALF OF THE BOARD,
Todd Sterck, President
No assurance can be given that past or similar results of precious metal mining will be indicative of future results. This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (The "Act"). In particular, when used in the preceding of discussion, the words "pleased," "plan," "confident that," "believe," "expect," or "intent to" and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Such risks and uncertainties include, but are not limited to, market conditions, general acceptance of the company's products and technologies, competitive factors, the ability to successfully complete additional financing and other risks in the company's SEC reports and filings.