Andover Ventures More Than Doubles Footprint in Mineral-Rich Ambler District

Alaska’s Ambler District is thought to be one of the world’s largest mineral deposits, yet this remote region has remained largely unexplored–until recently. Over the last few years, well-known mining companies such as NovaGold Resources (NYSE Amex: NG) and Teck Resources (NYSE Amex: TCK) have emerged as high-profile stakeholders in the region. Another player in the Ambler District, Andover Ventures Inc. (TSX-V:AOX) (OTCBB: AOVTF), recently more than doubled its land position at its Sun property to 36,800 acres.

With its expanded stake in the Sun property, AOX now has an even greater opportunity to capitalize upon the vast resource potential of the Ambler District. The Sun property is believed to be the second-largest known deposit within the district after NovaGold’s Arctic deposit. In fact, NovaGold’s recent actions played a role in AOX’s decision to expand its Sun property. In November, NovaGold announced plans to spin off its Ambler District and Ruby Creek assets into a new subsidiary, NovaCopper Inc., underscoring AOX’s confidence in the Ambler District as a viable mining entity. AOX’s Sun property is located in close proximity to NovaGold’s Arctic deposit.

Another factor in Andover’s decision was the Alaskan government’s interest in building a road to the Ambler District, which would provide easier access to the region year-round. Last month, Alaska’s Department of Transportation and Public Facilities released a preliminary study of possible routes and costs for the project. The state of Alaska has invested $4 million in infrastructure planning and will invest millions more in the coming years. Once completed, the infrastructure work will dramatically reduce production costs at the Sun property.

In addition to its Alaska property, AOX holds interests in four projects spanning 16,000 acres in Utah’s historic East Tintic mining district. The Company expects to begin production in the coming weeks at its Trixie mine in Utah, which could generate strong near-term cash flow. As recently as 2002, the mine produced approximately 200 tons per day of gold and silver ore. AOX is also partnered with Kennecott Exploration Co., a division of mining giant Rio Tinto (NYSE: RIO), on the Big Hill copper-gold-molybdenum prospect in Utah. Drilling is currently underway at the site.

Gold prices are up about 26% so far this year and are set to rise even more in 2012. Citigroup analysts believe gold prices will average $1,950 per ounce next year, and SocotiaMocatta, a division of the Bank of Nova Scotia, forecasts that gold will break the $2,000 mark by March. With gold prices climbing, one mine about to go into production and the strong probability of new discoveries at its expanded Sun property, AOX is a mining stock that merits immediate attention. To learn more about AOX, please take a moment to view the Company’s presentation from our recent Small-Cap New York Conference.

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