Athena, former president settle legal differences

A longstanding legal dispute between current management of Athena Gold (VSE) and its former president and founder, William Jordan, was recently settled.

The Nevada lawsuits over title to the Talapoosa property were all dismissed with prejudice, which means that none of the issues involved in the litigation can be raised again.

Jordan’s legal battle was the subject of a recent news feature by Time Magazine, which alleged that control of Athena was wrested from him by individuals associated with the controversial Church of Scientology. With these issues now set aside, the terms of the recent settlement gives Athena clear title to the entire Talapoosa property located 45 miles southeast of Reno, including the major central block where all known mineral reserves have been developed to date.

A corporate entity associated with Jordan was granted a 2.5% net smelter return royalty on a block of 26 mineral claims within the overall 16-square-mile property.

Athena noted that this block is unexplored and away from the developed mineral reserves and current exploration work on the property. The company also reported that the settlement was acceptable to Pegasus Gold (TSE), which is operating the joint venture program.

Pegasus started its first-phase program in March of this year. The initial confirmatory and metallurgical sample drilling program, using both core and RVC methods, was recently completed. Metallurgical work is continuing, using large composites of fresh core samples from both Main zone and Bear Creek zone mineralization.

At last report, preliminary reserves at Talapoosa stood at 19.6 million tons grading 0.045 oz. gold and 0.6 oz. silver per ton, based on a cutoff grade of 0.02 oz. gold.