AMERICAN FORK, UT, Nov. 6, 2019 /CNW/ - Clifton Mining Company (OTCBB: CFTN) ("Clifton") held its annual shareholder meeting on Friday, October 25, 2019, at 12:30 p.m. in the Alpine Arts Center, Alpine, Utah. A quorum was present and all six directors were re-elected for their designated terms and the appointed auditors were also approved.
Ken Friedman addressed the question that had been raised by a number of shareholders pursuant to the management's decision to exchanged its five percent (5%) net smelter return on the Kiewit project for 5.5 million shares of Desert Hawk Gold Corp. stock and $3 million in cash. The Agreement also had the proviso that if Desert Hawk failed to consummate a registration of the shares within 18 months of the Agreement, a 2.5% net smelter return would be paid to Clifton until the shares are registered with the SEC. Under plausible assumptions, primarily concerning the number of new shares to be issued by Desert Hawk and the ratio of the gold price to Desert Hawk's break-even price, the exchange should be a significant net positive for Clifton shareholders.
Keith Moeller then discussed Clifton's acquisition of the forty four (44) additional patented mining claims consisting of 730 acres of patented mining property and why the new claims can benefit Clifton's future. Desert Hawk's heap leach project summary numbers were shared, which included the information that Desert Hawk has drilled and blasted 2,927 new holes in the Kiewit mine area. Also since the restart, Desert Hawk has mined 290,242 tons of waste rock, 155,876 tons of gold bearing material, of which 147,327 tons have already been crushed for heap leaching. An update was also given on American Silver, a private company in which Clifton holds approximately an 18% interest and has continued to receive annual cash distributions, adding an additional source of income for the Company. American Silver has additional patents pending and has new patents that have been issued, including patents that utilizing the company's proprietary silver technology in a new treatment extension with botulinum toxin A. American silver has also significantly expanded its production and manufacturing capacities.
Please see the Company's website www.cliftonmining.com for additional Company information. Clifton trades on the U.S. OTC under the trading symbol "CFTN".
Note: Any statements released by Clifton Mining Company that are forward looking are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Editors and investors are cautioned that forward looking statements invoke risk and uncertainties that may affect the company's business prospects and performance.