TORONTO, Dec. 22 /PRNewswire-FirstCall/ -- Northwestern Mineral Ventures Inc. ("Northwestern") (TSXV: NWT; OTCBB: NWTMF) is pleased to announce the signing of a definitive agreement with Yamana Gold Inc. ("Yamana") (TSX: YRI; AMEX: AUY; LSE (AIM): YAU) covering its silver-gold Picachos Project in Durango, Mexico. Under the terms of the agreement, Northwestern has the right to acquire a direct 70% interest in the 19,000-acre (7,700-hectare) property portfolio. Northwestern will act as operator of the project.
Under the terms of the definitive agreement, Northwestern must invest US$3,000,000 in exploration over three years and make cash payments in installments totaling US$400,000 to acquire 70% ownership of Picachos. The cash installments include an initial US$100,000 payment, which was remitted upon signing of the definitive agreement. Northwestern will issue 1,000,000 common shares to Yamana over a three-year period, including 400,000 shares to be issued within 30 days and which are subject to a four-month hold period from the issue date. The remaining shares will be issued in stages and will be subject to all required regulatory hold periods. Northwestern previously announced the signing of a revised Letter of Intent with Yamana in a press release dated July 12, 2006.
ABOUT NORTHWESTERN:
Northwestern Mineral Ventures (http://www.northwestmineral.com/) is an international resource exploration company with an experienced management team. The company is focused on properties in Niger and Canada with potential uranium targets. Northwestern also has a precious and base metal property in Mexico. Northwestern is listed on the NASD Bulletin Board under the symbol "NWTMF" and the TSX Venture Exchange under the symbol "NWT."
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this news release.
This news release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.
