Laguna to list on Toronto Exchange

Laguna Gold, an 80%-owned subsidiary of Mallon Resources (NASDAQ), is gaining some independence as it proceeds with plans to gain a listing on the Toronto Stock Exchange.

Laguna hopes to list its shares by late June or early July and, in doing so, raise US$5 million for continued exploration and development of the Rio Chiquito gold property in Costa Rica.

“We’ve wanted to separate Laguna for some time now,” says Laguna President Laurence Marsland. “Its activities have had no effect on the price of Mallon [an oil and gas company]. We want to list on Toronto because we believe it is the pre-eminent market for junior gold companies.”

Mallon will nevertheless retain at least a majority ownership in the junior.

Laguna has completed one phase of drilling at Rio Chiquito and is in the middle of a second. Meanwhile, geophysical surveys, surface sampling and trenching have enabled the company to pinpoint new drill targets.

A prefeasibility study of the 62,000-acre property is nearly complete.

Rio Chiquito is estimated to contain 400,000 oz. gold and 2.5 million oz. silver, and drill results are expected to increase the resource.

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