Thursday, April 30, 2009
TSX Venture Exchange Symbol: SUL
SEC 12g3-2(b): 82-4741
Frankfurt Stock Exchange: RZN
April 30, 2009, Vancouver, BC - Sultan Minerals Inc. (SUL -- TSX Venture) ("Sultan" or the "Company") is pleased to announce that it has entered into an agreement (the "Agreement") with Mr. Locke Goldsmith (the "Vendor") of Vancouver, British Columbia to acquire 100% of the rights and interest in and to the Victory Tungsten Property (the "Property") consisting of six reverted crown grants, Tenure Numbers 233693 through to and including 233697 and 233677 located approximately six kilometres south of Salmo, British Columbia, Canada near the former Jersey Lead-Zinc Mine (see map). The Agreement is subject to regulatory approval.
Under the terms of the Agreement, Sultan has agreed to make a one-time cash payment of $12,000 and issue 200,000 common shares to the Vendor for the purchase of the Property. Upon fulfilling the cash payment and share issuance, Sultan shall acquire 100% right, title and interest in and to the Property subject only to a 2.0% Net Smelter Return ("NSR") royalty, payable to the Vendor. Sultan shall, at its discretion, have the exclusive right to reduce the NSR to 0.5% by making a one-time payment of $150,000.00 to the Vendor at any time up to and including the commencement of commercial production. If at any time the Vendor wishes to sell or assign its NSR royalty, the Vendor has agreed to give Sultan a 60-day right of first purchase to acquire such interest provided that the Vendor shall not thereafter offer its NSR royalty to a third party on terms less favourable to the Vendor than those offered to Sultan.
No common shares will be issued as bonuses, finder's fees or commissions in connection with this transaction. The common shares issued pursuant to the Agreement are subject to a hold period of four (4) months, plus one (1) day from the date of issuance.
The Victory Tungsten Property was staked in 1932 as a molybdenum prospect. Exploration work entailing trenching and sampling followed and in 1942 tungsten was discovered on the Property but was not explored. In 1952 Victory Tungsten Ltd. optioned the Property. Diamond drilling was undertaken on the main tungsten showing and by October of 1953 more than 5,000 metres of drilling was completed in more than 65 holes. This pre-NI 43-101 work reported a drill inferred resource of 82,000 tons in two deposits grading 0.54 per cent WO3 (MINFILE REPORT: 082FSW059). Due to low tungsten prices at the time these historic grades were considered sub-economic. The Property was prospected intermittently until 1984 but tungsten prices did not improve and exploration ceased.
Readers are cautioned that the tungsten assays quoted in this release are historical in nature and were compiled before the implementation of NI 43-101 Standards for Disclosure of Mineral Projects. Sultan plans to confirm the reported resource with a trenching and diamond drilling program and explore for extensions to the mineralization with geophysical mapping.
Mr. Ed Lawrence, P.Eng., former Manager of the Jersey and Emerald Mines, is managing the ongoing exploration programs. Mr. Perry Grunenberg, P.Geo., of PBG Geoscience of Kamloops, B.C., is Sultan's project supervisor and "Qualified Person" for the purpose of NI 43-101, "Standards of Disclosure for Mineral Projects".
For further information on the Company's projects, visit www.sultanminerals.com.
Arthur G. Troup,
President and CEO
For further information, please contact:
Marc Lee, Investor & Corporate Communications
Tel: (604) 687-4622 Fax: (604) 687-4212 Toll Free: 1-888-267-1400
