Intertech Solutions Announces New Gold Project in Alaska
SCOTTSDALE, Arizona, Dec. 3, 2014 /PRNewswire/ -- Intertech Solutions Inc. (OTCPK: ITEC) ("Intertech Solutions Inc.," "ITEC" or the "Company") is very pleased to announce today that the Company has completed contracts for ITEC to receive production revenue under a "gold streaming agreement" from the Hunter Creek Gold Project, located in Alaska. This gold project naturally fits into the Company's growing portfolio of gold production assets.
Under the terms of the "gold streaming agreement", with a timeline and duration of ten years or to continue for the economic life of the mine, ITEC will provide up to $5 Million USD in order to modernize and increase the mine capacity. ITEC will receive 75% of net revenue until payback of the original investment and then 25% of all net revenue until the resource is fully depleted. Revenue projections are derived from management's conservative assumptions of processing 1,200 tons per day with an average grade of 4 grams per ton while operating at a minimum of 100 days per year at $1,150 per ounce gold, less operating costs. Based on these estimates, ITEC conservatively expects the Hunter Creek Project to net $16.4 Million annually from this single gold streaming contract alone, prior to the implementation of planned project production expansion.
The current plant has the capacity to process 1,200 tons per day. The operating season in Alaska is between May and September and ITEC can mine a minimum of 100 days. ITEC expects that the project will produce over 15,000 ounces of gold annually. The current mine capacity of 1,200 tons per day has been assessed and it is the opinion of management that the potential throughput of the plant can be doubled with this influx of capital expenditure.
The Hunter Creek Project is an operating placer gold operation comprised of over 13,600 acres of mining claims. The mine is located 75 miles northwest of Fairbanks, Alaska, within the Rampart Mining District – one of Alaska's most prolific gold producing areas and lies within the world famous "Tintina Gold District". The pay gravels are Quaternary to late Tertiary aged deposits that regionally are up to 100 feet thick. Within the project area, 20 foot pay zones have been identified and will be prepared for exploitation immediately after the spring thaw in 2015.
Company President Robert McIntosh states "The addition of the Hunter Creek Alaska project to our portfolio of assets will more than double our projected cash flow and revenue stream once production commences in Alaska in spring of 2015. Although the season is relatively short in Alaska compared to the yearlong operating season at the WPE Arizona project, the large tonnage potential and sheer project size is impressive. Once all the geological data and engineering is processed and reviewed, we will announce further details on this new gold deposit."
About Intertech Solutions Inc. (OTCPK: ITEC)
Intertech Solutions is a fully integrated, gold project finance, management and services consulting Company that provides development capital, engineering, project supervision and technical management to gold projects. The Company operates from its offices in Scottsdale, Arizona. Visit us at: www.itecgold.com
Notice Regarding Forward-Looking Statements
This news release contains "forward-looking statements" as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, scope and type of consulting services provided by ITEC, use of proceeds, future acquisitions, success of projects, growth and strategic plans. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with petroleum exploration and development stage exploration companies. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.
ON BEHALF OF THE BOARD
Intertech Solutions Inc.
- - - - - - - - - - - - - - - - - -
Robert McIntosh
President, C.E.O.
To find out more about Intertech Solutions Inc. (OTCPK: ITEC), visit our website at www.itecgold.com
Investor Relations:
+1-480-296-2065
[email protected]
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/intertech-solutions-announces-new-gold-project-in-alaska-300004099.html
SOURCE Intertech Solutions Inc.
Share this article