TORONTO, Dec. 16, 2010 (GLOBE NEWSWIRE) -- Strategic Rare Earth Metals, Inc. (Pink Sheets:SREH) announces today that it has acquired Nicaragua Gold Corp., a Canadian gold exploration and mining company with primary operations focused in Nicaragua and South America.
Operations in Nicaragua are taking place in the country's RAAN (North Atlantic Autonomous Region), specifically along the border of what has been named the Golden Triangle of Nicaragua, a sector renown for prolific gold production. The region includes the three districts of Bonanza, Rosita and Suina, adjacent to the Risco de Oro Mine, where neighboring companies Yamana and Calibre Mining are currently working.
As reported in an article earlier this year, the country's mining industry looked to double its gold exports in 2010, its main destinations being the United States and Canada. The Central Bank of Nicaragua revealed that in 2009 the country sold 88.000 troy ounces, netting $81 million.
Sergio Rios, president of Caminic, the Chamber of Mining Companies of Nicaragua, commented that "as long as the U.S. economy and the dollar remain problematic, gold prices are not going down."
Geological formations with large anomalies for gold yielding veins are prevalent as evidenced by the recent B2 Gold Corp's recent acquisition of the Orosi Mine, Yamana's explorations in Siuna and Hemcoe's all-out land acquisition program in Bonanza.
Nicaragua Gold Corp and SREH CEO Terrence Rodrigues are confident that profitable mining will continue to increase in Nicaragua and that the company will become a key player therein, with good success from the start. "The country's mining laws not only guarantee all foreign and local investments but also facilitates the actual mining operation. As well, In the name of harvesting economic development and maximizing our bottom line, we will be using experienced local mining crews to carry out company directives."
The company also has direct access to industry consultants including MIning Engineers and Geologists such as Glen Hodgson, Louis Rojas and David Garcia, to name a few. These experts head consulting companies that provide a variety of services to the mining industry.
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements as a result of various factors, and other risks. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and Strategic Rare Earth Metals, Inc. undertakes no obligation to update such statements.
CONTACT: Gerrard Hollister Investor Relations (310) 909-7988 SREH@GerrardHollister.com