Kestrel Gold Inc. Has Entered Into Two Memorandums of Understanding to Acquire An Option to Earn a 100% Interest in Four Individual Properties
Vancouver, B.C., September 8th, 2010: Kestrel Gold Inc. (TSX-V:KGC) has entered into two memorandums of understanding to acquire an option to earn a 100% interest in four individual properties, collectively known as the King Solomon Dome Project, located within the heart of the Yukon Territory’s world-renowned Klondike Goldfields where total placer gold production to date has exceeded 13 million ounces of gold. The projects are located 30-60 km southeast of Dawson City and occur within an area of extensive past and present placer mining activity. To fully exercise the option on all four properties, Kestrel will be required to make staged payments totaling $920,000 over a period of approximately four (4) years, issue 150,000 common shares and fund exploration expenses of up to $100,000. Each individual property is subject to a 2.5% NSR, 1.5% of which can be purchased for $1,000,000. Completion of the transaction is subject to the parties entering into definitive agreements by September 30, 2010 and applicable regulatory body approval.