VANCOUVER, BC, Sept. 8, 2020 /CNW/ - Mirasol Resources Ltd.
(TSXV: MRZ) (OTCPK: MRZLF) (the "Company" or
"Mirasol") announces the signing of the definitive option
agreement for its Nord Project (the "Project") in northern
Chile with Encantada SpA
("Encantada"), an affiliate of Mineria Activa SpA. Mineria Activa
is a Chilean, mining-focused, private equity group with over
US$150 million in assets under
management.
Mirasol's President and CEO, Norm
Pitcher, stated: "We are pleased to close this transaction
after the successful completion of the technical and legal due
diligence. Mirasol has monetized its interest in a non-core project
for up to US$ 3 million cash payments
and the creation of a new 2% NSR royalty on prospective exploration
claims located near a development project."
Figure 1 – Project Location
Terms of the Nord Agreement
Encantada has the option to earn 100% of the Project over 4
years by:
- Making cash payments totaling US$
3,000,000 according to the following schedule:
-
- On signing of definitive agreement: US$
50,000
- 14th month anniversary: US$
200,000
- 24th month anniversary: US$
400,000
- 36th month anniversary: US$
600,000
- 48th month anniversary: US$
1,750,000
- Incurring at least US$500,000 in exploration expenditures over the
first 2 years of the option period.
Upon completion of the option obligations, Encantada will have
earned a 100% interest in the Project and Mirasol will retain a 2%
Net Smelter Return ("NSR") royalty. Encantada has the right to buy
back 0.5% of the royalty for US$3
million, exercisable within 8 years.
Nord Project Overview
The 1,967 ha Nord Project is located in Region III of
Chile within the Exploradora
District, which lies on the western side of the N-S trending,
regional scale Domeyko fault zone, and within the Eocene-Oligocene
Copper Porphyry belt. The Project lies adjacent to the Exploradora
porphyry project held by Codelco and the Ciclon-Exploradora
polymetallic-epithermal project operated by Mineria Activa. Based
on the initial work completed by Mirasol, the Nord Project has the
potential to host both polymetallic intermediate epithermal vein
and porphyry styles of mineralization (See October 31, 2019 News Release).
Figure 2 – Claim outline
At Ciclon-Exploradora, Mineria Activa is advancing toward
production after successfully completed a conceptual engineering
study and resource estimate in 2019, and is now working on a
definitive feasibility study.
At the Nord Project, Encantada intends to complete an initial
6-month fieldwork program, which will include geology and
alteration mapping as well as geophysical surveys and trenching.
The program is aimed at defining the structural corridors and
intersections that may host epithermal deposits and potentially
related porphyry style targets. If results are positive, an initial
scout drill program will be completed to test the best targets,
expected to occur in the second quarter of 2021.
About Mirasol Resources Ltd
Mirasol is a premier project generation company that is focused
on the discovery and development of profitable precious metal and
copper deposits, operating via a hybrid joint venture and
self-funded drilling business model. Strategic joint ventures with
precious metal producers have enabled Mirasol to maintain a tight
share structure while advancing its priority projects that are
focused in high-potential regions in Chile and Argentina. Mirasol employs an
integrated generative and on-ground exploration approach, combining
leading-edge technologies and experienced exploration geoscientists
to maximize the potential for discovery. Mirasol is in a strong
financial position and has a significant portfolio of exploration
projects located within the Tertiary Age Mineral belts of
Chile and the Jurassic age gold
and silver district of Santa Cruz Province
Argentina.
Qualified Person Statement: Mirasol's disclosure of technical or
scientific information in this press release has been reviewed and
approved by Norm Pitcher, P.Geo.
President and CEO for the Company. Mr. Pitcher serves as a
Qualified Person under the definition of National Instrument
43-101.
Forward Looking Statements: The information in this news release
contains forward looking statements that are subject to a number of
known and unknown risks, uncertainties and other factors that may
cause actual results to differ materially from those anticipated in
our forward-looking statements. Factors that could cause such
differences include: changes in world commodity markets, equity
markets, costs and supply of materials relevant to the mining
industry, change in government and changes to regulations affecting
the mining industry and to policies linked to pandemics, social and
environmental related matters. Forward-looking statements in this
release include statements regarding future exploration programs,
operation plans, geological interpretations, mineral tenure issues
and mineral recovery processes. Although we believe the
expectations reflected in our forward-looking statements are
reasonable, results may vary, and we cannot guarantee future
results, levels of activity, performance or achievements. Mirasol
disclaims any obligations to update or revise any forward-looking
statements whether as a result of new information, future events or
otherwise, except as may be required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Mirasol Resources Ltd.