LATIN AMERICA — Gammon secures Brenda

Dartmouth-based junior Gammon Lake Resources (GAML-C) has reached an agreement to earn the remaining interest in the Brenda gold project near the city of Ocampo, in Chihuahua state, Mexico.

Gammon, which already is earning a 60% interest, can earn the remaining 40% from Mexican company Minera Fuerte Mayo by spending a further US$1 million on exploration and paying US$5 per oz. of proven gold reserves. To earn the initial 60%, Gammon is obliged to spend US$200,000 on exploration, and make payments of US$3.23 million and 2.5 million shares to Fuerte Mayo.

The company already has conducted limited underground bulk sampling, which returned a head grade of 5.6 grams gold and 144 grams silver per tonne from 322 tonnes. A flotation concentrate of the sample recovered 86% of the gold and 76% of the silver. Results from cyanide testing indicate that cyanidation may be more successful than flotation.

Other underground sampling has shown a gold grade of 2.9 grams per tonne in a 65-metre-long chip sample.