Goldpost concludes Hislop property sale

Shareholders have approved the sale of Goldpost Resources’ (TSE) gold properties in northern Ontario to St Andrew Goldfields (TSE).

The three contiguous properties — Hislop East, Holcorp and Valliere — are east of Matheson, Ont.

In return, St Andrew will issue Goldpost 1.5 million shares from treasury, assume $500,000 in Goldpost liabilities and guarantee all existing royalties on the property.

Under a joint venture agreement with Goldpost, St Andrew mined 85,066 tons grading 0.2 oz. gold per ton from Hislop East between 1990 and 1991. St Andrew plans to begin mining 600 tons per day from the property this fall. Proven and probable reserves total 435,496 tons at 0.2 oz. gold. The sale is expected to be concluded by early July.