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Red Mile Minerals, McLaren Resources Enter Option Agreement to Buy 50% of Blue Quartz Property

Red Mile Minerals Corp. (TSX VENTURE:RDM) has announced it has signed an option agreement with McLaren Resources Inc (CNSX: MCL) whereby McLaren can earn 50% of the Company's interest in the Blue Quartz Property.

In addition, upon McLaren earning a 50% interest, McLaren will have the right of first refusal for the remaining 50%.

Transaction Terms

To acquire 50% of Red Mile's interest in the Blue Quartz Property, McLaren will, subject to Regulatory Approval, make a cash payment of $10,000 on the date of signing of the Letter of Agreement, and spend a minimum of $200,000 in Exploration and Development expenditures on or before September 1, 2011.

John Hickey, President & CEO of Red Mile, commented: "We are pleased to have McLaren Resources join with us to take the Blue Quartz project forward. Our previous work on the historic Blue Quartz mine has clearly indicated the property deserves more work to fully explore its mineralization. By McLaren taking on a $200,000 work program to earn 50%, it allows Red Mile to focus its attention on the Dorset Property in Baie Verte Newfoundland." (see Press Release dated October 25, 2010)

Source:

Red Mile Minerals Corp.

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