D'Aguilar Gold Limited (ASX:DGR) Updates On The Scrip-Based Take-over Of Ridge Exploration By Coltstar Ventures Inc (CVE:CTR)

Following the previous market releases of 29 June and 6 September 2010, the Directors of D'Aguilar Gold Limited (ASX:DGR) and its 86% owned iron and titanium focused subsidiary, Ridge Exploration Pty Ltd (Ridge) have been notified that the Toronto Stock Exchange (TSX) have approved the Independent Geologists Report commissioned by Coltstar Ventures Inc (CVE:CTR) on the Ridge projects.

This has now cleared the way for Coltstar to seek shareholder approval for the transaction, the materials for which are being dispatched to Coltstar shareholders tomorrow.

The parties are working towards settlement of the transaction in during November 2010.

Under the Share Purchase Agreement, Coltstar will acquire 100% of the issued shares in Ridge, in consideration for the issue of 10 million new, fully-paid shares in Coltstar to the Ridge shareholders.

Further news will be released when available.

About Ridge

Ridge, together with Eastern Exploration, holds exploration licences for iron ore over parts of the northern Surat Basin, the underlying basement and other areas where previous work has identified iron ore development with over 40% iron content in lateritised profiles. While over the past 40 years the mining industry has concentrated on the exploitation of haematite ores grading better than 55% iron, it has been overlooked that for most of the history of the iron and steel industry (many centuries), iron ore grading 35+% was the accepted standard. Given that the Ridge target areas are situated adjacent to massive coal and gas reserves (owned by unrelated third parties) and given the current high prices for iron ore, it is possible that lower than currently used grades of iron ore should be able to be very profitably exploited even bearing costs of upgrading by processing.

Initial field work has already identified extensive deposits of sediment hosted iron ore with many assays >40% Fe. The largest and strongest iron deposit identified lies in the Johnson Creek area on the eastern edge of the Basin approximately 100km southwest of Mundubbera and 80km east of Wandoan, referred to as Cadarga. Mapping and sampling work at Cadarga has also led to the discovery of high grade Titanium Dioxides (to 31% TiO2) around an interpreted basaltic volcanic centre near the town of Monogorilby. The deposit is flat lying within a lateritised volcanic breccia and covers about 6 square kilometres around a diatreme style of volcanic vent.

About Coltstar

Coltstar Ventures Inc was established in 2006 and is based in Vancouver, Canada. Coltstar is a Tier 2 TSX Venture Exchange listed company headed by CEO Damien Reynolds. Coltstar's stated objective is to utilise the proven skills of its talented team to advance the economic value of world-scale natural resource projects, for the benefit of all stakeholders.

As part of its focus on world-class iron-ore projects, Coltstar has just announced the staking of a 958km2 tenement area contiguous with Chevron Canada Limited's Crest iron deposit which is incorporated within a 600km2 area straddling the Yukon - Northwest Territories border in Northern Canada.

Through its subsidiary, Tuscany Minerals (OTC:TUSMF), Coltstar is also focused on the acquisition, exploration, and development of gold properties in Italy. Its principal property includes the Colline Metallifera gold property, which consists of six exploration permits located in Tuscany, Italy.

On 14 September 2010, Coltstar announced that it had staked over 95,805 hectares (958km2) of prospective property in the Northwest Territories, Canada. Further recent staking has increased the land holding to 105,000 hectares (1,050km2) and the company has now defined two world-scale projects, BIGiron and BIGcopper, within this property.

About D'Aguilar Gold Limited:

D’Aguilar Gold Limited (ASX:DGR) is focused on generating exploration and development companies in a wide array of minerals.

Projects are conceived directly through the skills and experience of D’Aguilar’s accomplished team of exploration geoscientists (with an enviable track record), not by the costly purchase of properties. Each project or exploration strategy is held in a separate subsidiary.

Focused and specialist management is then engaged in the subsidiary, with project specific finance raised in the subsidiary – faster and less dilutive to D’Aguilar. As the subsidiary project develops and starts to derisk the subsidiary is separately capitalised (seed raisings followed by an IPO).

Investors can choose to invest specifically in a particular project/commodity, or by investing in D’Aguilar, invest in the resource company generating business which retains a significant carried interest in each project.

D’Aguilar projects tend to be very large, targeting new provinces with the potential to make world-class discoveries. The exploration concepts are often novel. While increased metal prices and advances in technology can turn former sub-economic deposits into viable projects, D’Aguilar subsidiary projects frequently emerge from detailed reassessment and reinterpretation of large databases – looking at things from a new angle and with a different focus using state of the art techniques. The D’Aguilar Directors and Managers have in the past applied new exploration models to extensive tenement areas which have led to identification of new mineral provinces and the discovery of nationally significant resources. Similar efforts are now being dedicated to D’Aguilar.

Contact:

Mr Nicholas Mather 
Managing Director 

Karl Schlobohm
Company Secretary

D'Aguilar Gold Ltd
Ph: +61-7-3303-0680
 


Source:

D'Aguilar Gold Limited

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