TSX Venture
Symbol: COR
OTCQB Symbol:
CAMZF
Frankfurt
Symbol: XC01
VANCOUVER,
May 2, 2018 /CNW/
- Camino Minerals Corp. ("Camino" or the
"Company") (COR: TSX-V) is pleased to announce it has signed an
option agreement with Compania Minera Villa Hermosa JV RR S.A.C.
(the "Vendor") pursuant to which it can acquire through a
wholly-owned subsidiary, Minquest Peru S.A.C., a 100% interest in
the Villa Hermosa project. The property consists of two
claims totaling 400 hectares and is located 150 kilometres east of
the city of Trujillo, Department of La Libertad in central
Peru.
Villa Hermosa is located in a region of Precambrian age
rocks which hosts several large gold mines, including the nearby
Parcoy Mine, owned by Consorcio Minera Horizonte, and the Retamas
Mine, owned by Minera Aurifera Retamas. These mines were
first brought into production on a small scale in the 1980's.
Production has steadily increased at both mines;
- the Parcoy Mine now mills 2,000 tonnes per day and
produces over 250,000 ounces of gold annually.
- the Retamas Mine has a capacity of 1,800 tonnes per day
and is producing over 180,000 ounces of gold annually.
Production for both mines has been developed on narrow
veins. At the Parcoy Mine, these veins have been defined to a
depth of over one kilometre below surface, and in 2015, a capital
project was begun to install a 1,075 metre-deep shaft which would
make the operation more efficient and extend the life of the mine
well into the future.
At Villa Hermosa, the vendors have been shipping up to 20
tonnes per month of hand sorted ore which grades between 40 and 125
grams per tonne gold. This material is being mined from four
veins which average 0.6 metres wide and are hosted within a 40
metre-wide quartz stockwork zone.
Due diligence sampling of the veins averaged 28.9 grams
per tonne gold. The stockwork on the margins of the veins
assayed up to 4.2 grams per tonne gold over 1.29 metres. To
date, there has been no modern exploration activities completed on
the property and no systematic sampling of the
stockwork.
The primary exploration target at Villa Hermosa is
definition of high-grade gold resources contained within quartz
veins. There is also potential that these veins could be
nested within a bulk tonnage zone of stockwork mineralization if
economic gold values are spread across a significant portion of the
40-metre width of the zone.
The Company will initially focus on sampling and trenching
the extensions of the known veins and stockwork as well as
prospecting for additional veins. The Vendor holds a valid
small scale extraction permit which allows it to carry out road
building, trenching, underground development, and
drilling.
Kenneth McNaughton,
President and CEO, said, "We first visited Villa Hermosa in
December 2013, and began discussions
with the vendors shortly thereafter. I'm very excited that
after almost five years of discussions that we have reached an
agreement and can begin exploration."
"While our focus remains the advancement of our
Chapitos copper oxide deposit in southern Peru, we believe Villa Hermosa compliments our
portfolio of gold projects which include Plata Dorada in
Peru and Lost Cabin in southern
Oregon, USA. With the grade
of mineralization that we've found on site and its close proximity
to the world class Parcoy and Retamas gold mines, we believe Villa
Hermosa has excellent potential to host a multi-million ounce gold
deposit."
Under the terms of the option agreement, Camino has the
right to earn 100% interest in the Project by making staged
payments as follows:
Date for Option Payment
|
Amount USD
|
On execution of the
option agreement (the "Effective Date")
|
$50,000
|
12 months after
Effective Date
|
$50,000
|
24 months after
Effective Date
|
$100,000
|
36 months after
Effective Date
|
$150,000
|
48 months after
Effective Date
|
$200,000
|
60 months after
Effective Date
|
$4,500,000
|
Total
|
$5,050,000
|
The Vendor also retains the right to continue mining on
the project during the option period. The completion of the option
remains subject to receipt of all necessary regulatory approvals,
including the approval of the TSX Venture Exchange.
A presentation for the Villa Hermosa Project is on the
Company website at
www.caminominerals.com.
Kenneth C. McNaughton,
M.A.Sc., P.Eng., the President and Chief Executive Officer of the
Company, is a Qualified Person (QP) and is responsible for the
Villa Hermosa Project exploration program.
About Camino Minerals Corporation
Camino is a discovery-oriented mineral exploration
company. The Company is focused on the acquisition and
development of high grade copper and precious metal projects. For
more information, please refer to Camino's website at
www.caminominerals.com
Cautionary Note Regarding Forward-Looking Statements
and Information
This News Release contains "forward-looking information"
and "forward looking statements" within the meaning of applicable
Canadian and United States
securities legislation. Statements contained herein that are not
based on historical or current fact, including without limitation
statements containing the words "anticipates," "believes," "may,"
"continues," "estimates," "expects," and "will" and words of
similar import, constitute "forward-looking statements" within the
meaning of the U.S. Private Securities Litigation Reform Act of
1995.
Forward-looking information may include, but is not
limited to, information with respect to our planned exploration
activities, the adequacy of our financial resources, the estimation
of mineral reserves and resources, the results of future
exploration and drilling. Wherever possible, words such as
"plans", "expects", "projects", "assumes", "budget", "strategy",
"scheduled", "estimates", "forecasts", "anticipates", "believes",
"intends", "targets" and similar expressions or statements that
certain actions, events or results "may", "could", "would", "might"
or "will" be taken, occur or be achieved, or the negative forms of
any of these terms and similar expressions, have been used to
identify forward-looking statements and information.
Forward-looking information is subject to a variety of
known and unknown risks, uncertainties and other factors that could
cause actual events or results to differ from those expressed or
implied by the forward-looking information, including, without
limitation, those risks identified in the Company's annual
disclosure materials, filed with the securities regulatory
authorities in Canada and
available at www.sedar.com. Readers
are encouraged to read these materials. Prospective investors
should not place undue reliance on forward-looking
information.
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content:http://www.prnewswire.com/news-releases/camino-options-villa-hermosa-gold-project-in-la-libertad-peru-300640637.html
SOURCE Camino Minerals Corporation