Latin Metals Options Out Esperanza Copper Gold Project, San Juan Province, Argentina
January 26, 2021 at 02:00 pm
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Latin Metals Inc. announced that it has signed a letter agreement with Libero Copper and Gold Corporation (Libero), pursuant to which and subject to TSX Venture Exchange acceptance, Libero has been granted an option (the Option) to acquire a 70% interest in the Esperanza copper gold project (Esperanza or the “Project) located in San Juan Province, Argentina. In order to exercise the Option, Libero will be required to make cash payments in the aggregate of USD 2,403,000 and incur exploration expenditures on the Project of at least USD 2,000,000 within approximately 2 years. To exercise the Option, Libero will (i) assume responsibility for the funding of outstanding cash payments due to the underlying Project vendors pursuant to the underlying option agreement in the aggregate amount of USD 1,903,000, (ii) make cash payments to Latin Metals in the aggregate amount of USD 500,000, and (iii) incur exploration expenditures of at least USD 2,000,000 on the Project. Upon the exercise of the Option, Libero and Latin Metals will be deemed to have formed a joint venture for the continued exploration and development of the Project, in respect of which the initial participating interests of the parties shall be Libero as to 70%, and Latin Metals as to 30%. During the term of the Agreement before the exercise of the Option, if either Libero or Latin Metals acquires an interest in a property (the “Additional Property”) located within or partially within the Project or a 10 km area of interest extending from the outermost exterior boundaries of the Project, the non-acquiring party may elect that such Additional Property be included in the Project, in which case the non-acquiring party would be required to reimburse the acquiring party for 70% (Libero) or 30% (Latin Metals) of the acquisition costs of such Additional Property, as applicable. The Project is a copper-gold porphyry exploration project with epithermal gold mineralization located laterally to the east. The copper-gold porphyry system is exposed at surface with a pyrite halo exposed over an area of 1,400m x 850m. Esperanza has confirmed copper endowment within a multi-phase magmatic hydrothermal system. Historical exploration includes diamond drilling, rock and silt sampling, IP, and magnetic geophysics. Rock sampling at surface has defined copper and gold mineralization over much of the Project. Drill hole 18-ESP-025, completed by Latin Metals in 2018, returned the best results to date with 387m grading 0.57% copper and 0.27 g/t gold, including 166m grading 0.84% copper and 0.37 g/t gold from surface (true width unknown). Mineralization is open at depth and laterally, with priority targets located west and south. There are multiple drill-ready, untested targets. The Project is road accessible and located in San Juan Province which is considered to be a mining-friendly jurisdiction in Argentina. Drilling completed by Latin Metals was supervised by on site personnel at the Project who rigorously collected and tracked samples, which were then sealed and shipped to SGS Minerals (SGS) for analysis. SGS's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Analytical accuracy and precision were monitored by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. Blind certified reference material was inserted at regular intervals into the sample sequence by Latin Metals’ personnel to independently assess analytical accuracy.
Latin Metals Inc. is a mineral exploration company. The Company is engaged in acquiring a diversified portfolio of assets in South America. The Companyâs projects Lacsha Project, Auquis Project, Jacha Project, Para Project, Tillo Project, and Loli Project. The Companyâs projects in Argentina include Organullo Project, Ana Maria and Trigal Projects, Esperanza Project, Mina Angela Project, Cerro Bayo and La Flora Projects, El Quemado Project, Mirador Copper Project, Solario Copper Project and Ventana Project. The Companyâs also owns Terraza copper exploration project consist of 68,000-hectare (ha) is located in northwest Argentina. The Organullo Project is an exploration property located in Salta Province, northwest Argentina. The Esperanza project is a copper-gold exploration project, located in San Juan Province, Argentina. It has a 100% interest in the Lacsha Copper project within the Coastal Copper Belt in Peru. The Auquis Copper Project is located in Peru's Coastal Copper Belt.