PERTH (miningweekly.com) – ASX-listed Azure Minerals has regained full ownership of the Alacrán silver/gold project, in Mexico, from diversified miner Teck Resources.
Azure at the end of 2014 inked an agreement with Tech to acquire ownership of Alacrán by sole-funding $5-million of exploration over a four-year period, with Tech retaining a back-in right that could be exercised within two months of Azure reaching the earn-in milestone.
Azure in October 2016 reached its expenditure requirement, gaining full ownership of the project area, after which Teck exercised its right to earn back a 51% interest in the project by sole funding $10-million of exploration expenditure over a four-year period, out to 2020.
Teck focused on exploring for significant copper deposits, and while porphyry-hosted copper mineralisation was confirmed, it did not meet Teck’s expectations, prompting the company in May this year to once again divest of its interest in Alacrán.
Azure on Wednesday reported that it has now regained full ownership and control of the project through the issue of a 19.9% shareholding in the company, and agreeing to a 0.5% net smelter royalty on the project, and a participating right on the proceeds of any sale of the project within a five-year period.
“Given the recent positive sentiment for gold and silver, regaining full control of this major precious metals project is a significant milestone for the company,” said Azure MD Tony Rovira.
“Azure’s discoveries of the Mesa de Plata and Lomo Bonita deposits, which together contain resources of more than 32-million ounces of silver and 150 000 oz of gold, confirm the strong potential of the project.
“I am confident that, with our very successful exploration team back on the ground, there are further silver and gold discoveries to be made at Alacrán.”