Orosur has announced its signing of an Exploration & Joint Venture agreement (‘the Agreement’) with shareholders of a private Argentinean company, Deseado Dorado S.A.S., (‘Deseado’) in relation to its El Pantano Gold Project (‘the Project’) in the Province of Santa Cruz, southern Argentina.
The Agreement covers nine licences over a combined 607sq.km in the prolific Deseado Massif region, c.45km from Anglo Gold’s Cerro Vanguardia mining camp. With no upfront payments, a low commitment for the first phase, and a low-cost path to 100% ownership, El Pantano provides Orosur with a substantial foothold in one of the world’s major gold provinces.
Given that the soon to be completed hand-over of Orosur’s Colombian Anzá Project’s operatorship will free up technical and logistical capacity along with support from a balance sheet that presently holds free cash of c.US$5m, near-term exploration of this new high-potential, early-stage JV is to be internally resourced. Along with last month’s signing of a similarly structured joint venture with Meridian Mining UK Societas (TSX-V: MNO) in relation to its Ariquemes Tin Exploration Project in Brazil, today’s news provides further evidence of management’s efforts to diversify shareholders’ South American interests by both geography and geology.
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