Publish Date : 30-Jun-2012
United Silver Corp., is pleased to announce that it has closed the agreement with Hale Capital Partners ("Hale") first announced on June 4, 2012. Together, USC and Hale formed the Crescent Mine LLC. Under the terms of the LLC, Hale made a net Initial Contribution of $2,400,000 in exchange for a 20% interest in the Crescent Silver Mine, located in the Coeur D'Alene Silver Belt, Idaho. USC had recently acquired this same interest in the Crescent Silver Mine project from Gold Finder Explorations Ltd. USC is the manager and has an 80% interest in the LLC. At any time after USC has satisfied its obligation to Hale under the Secured Convertible Note dated February 1, 2012, USC may acquire one half of Hale's interest in the LLC for a payment equal to the Initial Contribution.
USC is also pleased to announce that the New Jersey Mill is in operation, and it has shipped its first load of concentrate from its test mining operations to the refinery owned by Formation Metals. These and future concentrate sales are together expected to generate the cash necessary to complete development and bring the Crescent Mine into commercial production.
Graham Clark, CEO of USC said, "We are very pleased with Hale Capital Partners, LP continued support as they become our joint venture partner in the Crescent Mine project. This transaction provides us with adequate funding according to our budget to carry out our development plans until commercial production makes the Crescent Mine project self sustaining."
Martin Hale Jr, CEO of Hale Capital Partners, said, "We are pleased to have the opportunity to expand our relationship with USC. We focus on providing growth capital to strong managers developing exceptional properties. We believe USC fits well with our investment focus."
About United Silver Corp.: USC is a vertically integrated mining company with operations in Idaho, USA. It has a majority interest in the Crescent Silver Mine project in Idaho's prolific Silver Belt - directly between two of the world's historically largest silver producing properties, the Sunshine and Bunker Hill mines. USC also offers a full suite of mining services including contract mining and mine machine repair and fabrication services to silver miners in the district.