TSXV Symbol: LCO
VANCOUVER, Feb. 9 /CNW/ - El Condor Minerals Inc. ("LCO" or the
"Company") is pleased to announce that it has signed a letter of intent
and right of first offer agreement (the "Agreement") with Yale
Resources Ltd. (TSX-V: YLL) whereby the Company will have the sole and
exclusive right to acquire an option to earn a 70% interest in Yale's
Carol Property, located in Sonora State, Mexico.
The Agreement gives the Company the sole and exclusive right to enter
into a definitive option agreement to acquire a 70% interest in the
756-hectare Carol Property in northwestern Mexico. In consideration for
this right, the Company has paid Yale $25,000. Within fifteen days,
subject to due diligence and certain conditions, the Company will enter
into an Option Agreement to earn the interest in the Property by paying
Yale an additional $325,000 in cash over four years. The Company will
also be required to spend $1,700,000 on exploration expenditures in
four years. The Property is subject to a 3% net smelter return
royalty, which can be purchased by the Company for $750,000.
El Condor will be the operator for the Carol Project during the length
of the Option Agreement and as such will oversee exploration and
development work on the Property and designate contractors, which may
include Minera Alta Vista, Yale's Mexican subsidiary.
About the Carol Property
The 756-hectare Carol Property is located in the foothills of the Sierra
Madre Occidental belt, in southern Sonora State, approximately 5
kilometers north of the Piedras Verdes porphyry copper mine that has a
reported proven and probable reserve of 191 million tonnes grading
0.36% copper. The Carol Project is a drill-ready exploration project
with initial targets generated from multiple field seasons, with work
to date consisting of detailed geological mapping, soil geochemistry,
rock chip sampling, and trenching.
Carol hosts two skarn zones: Balde South and Balde North. The Balde
South measures approximately 1,100 metres long and 400 metres wide,
while the Balde North, located 800 metres away, measures approximately
300 metres by 800 metres. Highlights from the 2008 trenching program
are (see YLL news release dated March 6, 2008):
24.0 m grading 1.20 % Cu and 2.24 % Zn
10.0 m grading 2.19 % Cu, 1.07 % Zn, 18.26 g/t Ag and 0.91 g/t Au
22.0 m grading 1.15 % Cu, 0.61 % Zn, and 28.57 g/t Ag
22.0 m grading 0.54 % Cu and 4.45 % Zn
16.5 m grading 1.10 % Cu and 2.45 % Zn
Yale discovered a new gold target at the southern edge of the Balde
South area; the two gold intervals, separated by 20 metres, are as
follows (see YLL news release dated February 26, 2010):
Interval 1: 0.60 g/t gold over 16 metres (re-sampled)
Interval 2: 0.39 g/t gold over 16 metres (new)
Ian Foreman, P.Geo, president of Yale Resources commented "With copper
recently reaching a new five-year high, the potential value of the
mineralization at Carol is significant. We are pleased that El Condor
has signed on and will be kick starting work on the Carol Property".
Leigh Freeman, El Condor president and CEO stated "We are excited to be
entering into the Carol Agreement. Our intent is to bring our
significant exploration experience to bear on this skarn/porphyry
copper geological system, where early exploration is promising and
where we see the potential for unusually high copper and gold values".
Although Carol is considered drill-ready, El Condor's new exploration
program is likely to include geophysical surveys over the mineralized
targets already defined by trenching.
Ian Foreman, P.Geo, is the Qualified Person under National Instrument
43-101, for the Carol Project and is responsible for the technical data
in this news release.
All of the samples mentioned in this release were prepared and analyzed
by Inspectorate at their labs in Hermosillo and Vancouver as well as
Stewart Labs in their labs in Zacatecas and Kamloops. Gold analyses
were performed by 30 gram fire assay with an AA finish. Silver and
base metals were analyzed as part of a multi-element ICP package using
an aqua regia digestion; samples with more than 100 g/t silver, 1%
copper, 1% lead and/or 1% zinc (over limit) were re-analyzed using 'ore
grade' detection limits.
About El Condor Minerals Inc.
El Condor Minerals Inc. is a minerals exploration company focused on the
discovery of large precious- and base-metal mineral systems in stable
political jurisdictions. Additional information on El Condor, its
properties and exploration activities is available at the Company's
ON BEHALF OF THE BOARD OF DIRECTORS
"Leigh W. Freeman"
President & CEO
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.
Statements in this press release, other than purely historical information, including statements relating to the
Company's future plans and objectives or expected results, may include
forward-looking statements. Forward-looking statements are based on
numerous assumptions and are subject to all of the risks and
uncertainties inherent in resource exploration and development. As a result, actual results may vary
materially from those described in the forward-looking statements.
SOURCE El Condor Minerals Inc.
For further information:
please contact the Company: