PERTH (miningweekly.com) – Explorer AusQuest has signed a third joint venture (JV) agreement, this time with Southern Peru Copper Corporation over its Lana porphyry copper project, in Peru.
The latest JV followed two agreements inked with Zahena SAC in February.
Under the terms of the JV agreements, Zahena and Southern Copper could earn up to a 70% interest in four of AusQuest’s projects for a structure series of cash option payments and sole-funded exploration expenditure with a combined value of about A$34-million.
AusQuest MD Graeme Drew said on Tuesday that the signing of the third and final agreement with Southern Copper marked the beginning of a new phase of exploration activity at the company’s Peruvian assets.
“While Lana was the final agreement to be signed, it is expected to be the first target to be drilled this year. With the agreement now completed, we are looking forward to preparations commencing for drilling across our exciting portfolio of targets.”
Drew pointed out that with the JVs in place, AusQuest had free-carried exposure to one of the more significant copper exploration programmes planned in Latin America.
The projects under the JVs have been permitted, and the first stage drilling for all prospects is due for completion within the next 12 to 18 months.