AI assistant
IGO LIMITED — Capital/Financing Update 2012
Nov 1, 2012
65111_rns_2012-11-01_39508a49-086a-433c-a315-bfb5a847934d.pdf
Capital/Financing Update
Open in viewerOpens in your device viewer
Suite 6, 25 Walters Drive, Osborne Park, WA 6017 PO Box 1767, Osborne Park DC, WA 6916 Perth, Western Australia Tel: +61 (8) 9204 2433 Fax: +61 (8) 9244 7273 Email: [email protected] ASX:AVK
2 November 2012
ASX ANNOUNCEMENT
MOU for Joint Venture signed on Cerro Blanco Project
HIGHLIGHTS
-
Argentina Mining signs MOU to Joint Venture its interest in the Cerro Blanco Project with New Destiny Mining
-
Key terms of the MOU are confidential, but include cash payments, equity in the share capital of New Destiny and provision for Argentina Mining to maintain significant equity in the Cerro Blanco Project
-
Equity in New Destiny provides Argentina Mining exposure to the Canadian market
-
New Destiny to commit to a substantial drilling-based exploration program and to assume responsibility for all remaining option payments to the vendor of Cerro Blanco
-
Agreement enables Argentina Mining to focus on advancing its other key projects with epithermal gold-silver and porphyry copper-gold potential
-
Agreement consolidates working relationship with New Destiny, consistent with the Company’s strategy of developing partnerships to advance its copper-gold assets in Argentina
Argentina Mining Limited ( ASX: AVK )( Argentina Mining or the Company ) is pleased to announce that its wholly-owned Argentine subsidiary, Entropy Resources SA ( ERSA ), has signed a non-binding Memorandum of Understanding ( MOU ) with New Destiny Mining ( TSX.V: NED )( New Destiny ) relating to ERSA’s Cerro Blanco Project (the Project) which is situated 36 kilometres south-west of the township of Barreal in the Calingasta Valley in San Juan Province, Argentina.
While the key terms of the MOU are confidential, Argentina Mining has agreed to grant New Destiny, a Canadian listed company, an exclusivity period not exceeding 90 days from signing for New Destiny to undertake Due Diligence on the Project.
The definitive terms will be finalised in a binding Agreement after the Due Diligence period. It is expected that the Agreement will be formalised between the end of calendar 2012 and 31 January 2013.
Independence Group NL ( ASX: IGO )( Independence Group ) has provided a positive response to the MOU and the underlying Term Sheet between Argentina Mining and New Destiny, and has agreed to waive its First Right of Refusal and Claw-back under the Subscription and Alliance Agreement signed between Argentina Mining and Independence Group in January 2011.
Argentina Mining is excited to be exposed to the Canadian market through its developing partnership with New Destiny, developed through the recently-announced Option Agreement for Argentina Mining’s Tres Amigos Project (12 October 2012). The objective of New Destiny’s strong corporate and technical team is to become a significant explorer in Argentina.
-------- END --------
Company Contacts :
Eduardo Videla – Managing Director +54 (264) 427 3633 Doug Bright – Chairman +61 (8) 9204 2433
ACN 141 940 230
Email:
==> picture [86 x 45] intentionally omitted <==
About Argentina Mining Limited
Argentina Mining Limited listed on ASX on 9 March 2011. The Company is exploring a suite of gold and base metal projects in San Juan Province, Argentina. These projects range from the established porphyry coppergold-molybdenum project at Cerro Blanco, epithermal vein gold and copper mineralisation at Amiches, San Francisco and Tres Amigos and regional exploration projects near Barrick Gold Corporation’s major Veladero (Reserves 12Moz Au) and Pascua-Lama (Reserves 17.8Moz) gold operations.
The Company’s first five diamond core-holes drilled in two phases in 2011 at the Copper Hill Prospect at Cerro Blanco intersected broad zones of porphyry copper-gold-molybdenum mineralisation which, supported by results from geophysical Ground IP-Res and Magnetics surveys, confirm the presence of a large mineralised porphyry sulphide and oxide system.
About New Destiny Mining Corporation:
New Destiny Mining Corp. is an exploration stage company focusing on Copper Gold Porphyry systems in the San Juan region in Argentina. New Destiny’s projects include the recently acquired Tres Amigos project which is located 70 km west of the capital city of San Juan within the San Juan province. New Destiny’s management team and technical board encompass over 100 years of experience in project exploration, advancement and production, with proven successes in mining and business.
Shares of New Destiny Mining stock trade under the symbol NED on the TSX Venture Exchange. New Destiny has a tight capital structure with 12,971,640 shares outstanding and is currently in the process of completing a targeted financing to follow up on the MOU for the Cerro Blanco project and begin work on its properties.
Competent Person Statement
The information in this report relating to Exploration Results is based on information compiled by Mr Doug Bright, a Member of the Australasian Institute of Mining and Metallurgy and a Director of Argentina Mining Limited. Mr Bright has sufficient experience relevant to the style of mineralisation and type of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.’ Mr Bright consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.
Argentina Mining Limited