DOME GROUP RESTRUCTURES U.S.INTERESTS

Dome Mines, Campbell Red Lake Mines and Sigma Mines (Quebec) plan to restructure their gold interests in the United States.

Campbell will buy Dome’s and Sigma’s indirect interests in the Dee gold mine in Nevada and existing U.S. exploration properties. Dome and Sigma will retain net profits interests in existing exploration properties but all future activities in the U.S. will be for Campbell’s sole account.

The companies say the restructuring will allow Sigma to concentrate its efforts in Quebec while Dome will continue to participate indirectly in the U.S. through its majority ownership of Campbell. Dome owns 50.2% of Campbell and 64.7% of Sigma.

A wholly-owned U.S. subsidiary of Campbell has also agreed in principle to acquire a significant equity interest in Silver State Mining of Denver, Col., a private company.

The agreement calls for an infusion of $12 million(US) in cash and property which will entitle Campbell to an initial equity interest in Silver State of about 21%.

Both companies say the combination will result in “a strong and dynamic base from which to pursue the development of new gold properties in the U.S.”