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Additional	Information
Market:	TSX Venture
Sector:	General Mining
Epic:	CVE: GWY
News:	Latest news
Web Site:	Galway Resources
Other Articles:	17-11-2009

Galway Resources snares El Volcan mine and surrounding properties in Colombia’s Vetas Gold District

Colombia focused gold and coal explorer, Galway Resources (GWY: TSX-V) (“Galway”), has entered into an agreement to acquire the Reina de Oro and Coloro properties which are situated in the Vetas Gold Mining District.

Financial terms of the acquisition were not disclosed, but the company did release a considerable amount of data on the project collected by the U.S. Geological Survey and Colombian Geological Survey in 1969, plus a short summary of the El Volcan Mine, which it situated with the properties, and is currently producing form five separate veins.  It is Galway’s intention to quickly ascertain reserves and resources at the El Volcan mine through additional exploration both at surface and from the numerous underground workings.

“There has been limited exploration undertaken on the property by the mine owners, with no drilling whatsoever,” Galway noted, “The steep nature of the veins (sub vertical), combined with the highly competent wall rocks, is ideal for modern bulk mining methods (long-hole mining). There is also potential for open pit mining...All veins are open along strike (horizontally) and to depth and there are indications that additional veining may be discovered to the southeast, as seen by surface exposure.”

Collectively the two properties cover me 1,339 acres of highly prospective ground on strike from Greystar Resources (TSX: GSL) Angostura gold and silver deposit and Ventana Gold’s (TSX: VEN) La Mascota gold discovery.

" We are very excited to be the first company to initiate a technologically advanced exploration campaign on these properties, which complement on many different fronts our current activities in the nearby California gold trend,” stated Robert Hinchcliffe, President and CEO of Galway “...[these properties] add significant up-side potential to the Company's exploration efforts in the California-Vetas gold district."

Shares in Galway Resources have performed exceptionally well in recent months, partially due to a joint venture agreement with the Colombian subsidiary of Xstrata (LSE: XTA) to explore the Galca project, a 132,000 hectare set of concessions where there is significant potential for an economically viable coal project.  Xstrata is earning a 60% interest by completing a feasibility drill program. Xstrata can earn the remaining 40% equity interest in the project by paying Galway an already agreed value per tonne of economically mineable open-cut reserves determined in accordance with the JORC Code, up to US$70 million.

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