The Company is formally initiating studies to re-evaluate the Reforma, Naranjo, El Largo and El Rey deposits to assess the feasibility of building a second mine with a target [...]]]>

Based upon the rapid rise in gold prices, Farallon Mining said it is planning a second mine at its Campo Morado property in Guerrero Sate in Mexico

The Company is formally initiating studies to re-evaluate the Reforma, Naranjo, El Largo and El Rey deposits to assess the feasibility of building a second mine with a target start date of July 1, 2013.

Indicated resources for the Reforma, El Rey, Naranjo and El Largo deposits total 11.2 million tonnes of 4.7% zinc, 0.7% copper, 1.4% lead, 165 grams per tonne of silver and 2.7 grams per tonne of gold.. Contained gold totals 960,000 ounces and contained silver totals 60 million ounces.

The Company already operates a zinc mine, G-9 zinc mine at Campo Morado.  The second mine would piggy back on infrastructure already in place  at the current G-9 mine operation.

Located in the northern Guerrero Gold Belt to the west of and adjacent to Newstrike Capital Inc.’s Aurea Norte Project in Guerrero State, Mexico, the G-9 mine is a 1,500 tonnes per day, underground, zinc mine with important by-product credits of copper, gold, silver, and lead.

Source: Farallon Resources

Internationally recognized as leaders in identifying superior investment opportunities in the natural resource sector, the Lundin group’s endeavors have led the development of several world class mineral deposits and significant gains for shareholders who participated in their ventures.

Renown for their foresight and [...]]]>

The Lundin Group of Companies is the principal shareholder of Newstrike Capital Inc. http://www.thelundingroup.com/s/Home.asp

Internationally recognized as leaders in identifying superior investment opportunities in the natural resource sector, the Lundin group’s endeavors have led the development of several world class mineral deposits and significant gains for shareholders who participated in their ventures.

Renown for their foresight and their ability to identify highly prospective properties The Lundin Group, led by Lukas Lundin, acquired their stake in Newstrike in advance of the recent activity in the Guererro Gold Belt as demonstrated by Gleichen Resource Limited’s proposed acquisition of 78.8% of the Morelos Project from Teck Resources Limited.

The Guererro Gold Belt has an inventory of over 12 million ounces of gold, which continues to increase with ongoing exploration and/or mine development activities. Newstrike today controls an important strategic position of over 81,330 hectares within the within this significant gold camp. Newstrike’s management team was instrumental in the discovery of over eight million of those gold ounces.