Hanover ups stake in S.W. Montana

The acquisition of Easton-Pacific Mining has allowed Idaho-based Hanover Gold (HVGO-Q) to tighten its grip on the Alder Gulch mining district in southwestern Montana.

In a deal worth US$10 million, Hanover will acquire all outstanding shares of Easton-Pacific in exchange for 7 million Hanover shares.

Hanover now controls 22.5 sq. miles in the Alder Gulch-Virginia City area, plus additional patented and unpatented ground near the towns of Norris and Pony.

At the Kearsarge vein system in Alder Gulch, Hanover and former partner Kennecott outlined 26 million tons grading 0.06 oz. per ton, equivalent to 1.6 million contained ounces.

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