January 21, 2016 – Vancouver, British Columbia – Gainey Capital Corp. (TSXV: GNC) (OTCQX: GNYPF) (“Gainey” or the “Company”) is pleased to announce that it has entered into a processing agreement with Goldplay Exploration (“Goldplay”) to process 6,500 tons of mineralized material from their gold properties located in the Rosario mining district in the State of Sinaloa, Mexico. During the week of February 1, 2016, the first tranche of mineralized material will be shipped to Gainey’s 100% owned, 300-tpd processing centre in Huajicori, Mexico.
Gainey has received several mineralized material shipments from Goldplay, which have been detailed in the following news releases: Gainey has Received Goldplay’s First Material Shipment at its Processing Centre & Gainey Receiving Second Tranche of Mineralized Material from Goldplay . With the success of these sampling programs, Gainey and Goldplay have decided to enter into an agreement to process 6,500 tons of Goldplay’s mineralized material commencing the week of February 1, 2016. Gainey is confident that this opportunity will add, and continue to add, positive cash flow to the company and increase value for its shareholders.
Frank Powell, Head Geologist of Goldplay, commented, “We have spent several months sampling mineralized materials from our local gold properties at Gainey’s processing centre and have successfully completed the due-diligence necessary to advance to the next stages of our working agreement with Gainey.”
David Coburn, CEO of Gainey, commented, “We are continuing to develop the 50/50 profit split business model as mentioned in a previous news release: Gainey and Vetas y Minerales Mining Sign Letter of Intent and Processing Agreement . We feel this is an intelligent business model that will bring ongoing revenues to the company and offers the potential for future growth. Goldplay is a very strong partner that brings several revenue generating opportunities to the company. Gainey is exploring other exciting tolling opportunities with Goldplay, which we will announce on in the coming months.”
David Coburn, CEO of Gainey, continued, “In 2014 and 2015, the precious metals market proved to be very difficult and volatile. In response, Gainey has continued to adjust its operational strategies to adhere to these challenging market conditions. We’ve proven to be adaptable and resourceful, while continuing to grow our operations in Mexico. We’re confident that the low-cost structure of our business arrangements with Goldplay will allow both companies to be equitable, even at the current precious metal (gold and silver) prices. We will continue to provide updates as we ship mineralized material to our 300-tpd processing centre.”
About Goldplay Exploration
Goldplay is a private mineral exploration company comprising a group of experienced explorers and financiers with a track record of recent discoveries in Latin America. The group is responsible for the discovery and development of La Trinidad Mine in the Rosario Gold belt currently being mined by Marlin Gold. The Company has properties in Mexico and Central America and is currently focused in Rosario Sinaloa, Mexico, a prolific gold and silver mining belt. The Company’s has advanced several properties in the Rosario area to the resource stage and is sourcing methods to advance its projects to the next stage.