VANCOUVER, Dec. 4, 2013 /CNW/ - Mirasol Resources Ltd. (TSX-V:MRZ, Frankfurt: M8R) Mirasol Resources announces results of votes from its Annual General
and Special Meeting of shareholders held December 2, 2013, in
Vancouver, British Columbia. Each of the director nominees proposed by
management for election was elected to the Board of Directors. The
directors re-elected for the coming year are Nick DeMare, Timothy
Heenan, Mary Little and Borden Putnam III. All other ballot
initiatives were approved, including approval of the Company's stock
option plan and the renewal of the Shareholders Rights Plan. Mirasol
is pleased to confirm that Davidson & Company were named as the
Corporate Update: Mirasol Achieves Significant Milestones on Its 10th Anniversary and is Well Funded to Advance Programs
Mirasol marked its 10th anniversary in October 2013 with:
A strong balance sheet with cash and equivalents of CDN$20.5 million, no
debt and marketable securities of 1.31 million shares of Coeur Mining,
Inc (cash value of US$15.0 million on October 31, 2013)
22,300 hectares under Mirasol's control in a prospective new gold belt
in Northern Chile, including the new Titan and Atlas gold-silver
A new JV with First Quantum Minerals on our 100% owned Rubi copper-
gold- molybdenum project in the El Salvador mining district of Chile
And a dominant position with the resource-ready Virginia Silver Project
and other drill-ready projects at Curva and Claudia in the prolific
precious metal mining province of Santa Cruz, Argentina.
Mirasol has enhanced its balance sheet and business model during fiscal
2013 as the industry's leading prospect generator. Achievements
include significant exploration advances on Mirasol's 100%-held gold,
silver and copper properties in northern Chile and in Patagonia,
southern Argentina; the sale of the Joaquin silver-gold project to
Coeur strengthening the Company with significant cash; the strategic
option of Mirasol's Rubi property to copper producer First Quantum
Minerals Limited; and in Chile, exploration of a new gold portfolio
acquired by staking, giving Mirasol a foothold in an emerging
mineralized gold district.
Of note, Mirasol closed the sale of the Joaquin Project in Argentina to
Coeur Mining, Inc. in December 2012 for a US$60 million in value,
comprised of US$30 million in cash and 1.31 million Coeur NYSE-listed
shares. The Company currently holds Cdn$20.5 million in cash (net of
transaction taxes) plus the Coeur shares. This places Mirasol in the
enviable position of being self- funding in these challenging market
conditions, and as a result the Company is well positioned to further
its programs through 2014 and beyond. The funds will provide liquidity
and a strong basis for ongoing exploration in Chile and potential
diversification through expansion of Mirasol's exploration portfolio or
a value-adding, high caliber strategic transaction.
Mary Little, Mirasol's President and CEO, commented, "In marking our 10th anniversary of the founding of Mirasol in October, we believe we are
well positioned in these cyclical precious metals markets. We are
advancing our new gold prospects, Titan and Atlas, in Chile while
reducing expenditures significantly in Argentina, as justified by the
challenging investment environment. Our geologically robust assets in
Argentina, including the high-grade Virginia silver project, represent
value for investors in Mirasol. We are managing exploration risks and
costs prudently and have an industry leading exploration team focused
on building a high caliber exploration portfolio of precious metal
properties with potential to deliver continued exploration success."
The downturn in the precious metals equities markets has been driven by
softening silver and gold prices against a backdrop of political risk
sensitivity. The current macro environment of risk aversion in the
sector is impacting junior companies more severely and has also
impacted Mirasol's share value.
However this challenging financial backdrop leaves Mirasol in a unique
position as a fully funded project generator, presenting opportunities
due to reduced competitor activity in prospective mineral belts and the
potential to leverage the Company into high caliber advanced
Mirasol's 2012 and 2013 year-to-date Achievements
During late 2012 and the 2013 year-to-date, Mirasol achieved the
Monetized the Company's 49% interest in the Joaquin silver-gold project
in Argentina, a Mirasol discovery, to its joint venture partner Coeur
in December 2012.
Recorded two strategic joint venture agreements in sharing and
mitigating exploration risks and managing working capital:
Announced an agreement for First Quantum Minerals Limited to earn into a
55% interest on the Rubi copper-gold porphyry project in the historic
El Salvador copper district, Chile, by investing US$6.5 million in
exploration over four years and making staged cash payments to Mirasol
totaling US$1.1 million (Mirasol news release of September 18, 2013.)
Optioned a portfolio of early-stage properties totaling more than 20,000
hectares adjacent and near to the Titan and Atlas gold-silver
properties, through a joint venture agreement with a private Chilean
group. (Mirasol news release of June 26, 2013.)
Explored two large-scale gold-silver projects in the northern extension
of Chile's prolific Maricunga gold-copper belt.
At Titan in Chile, Mirasol outlined a new, epithermal gold-mineralized
system from trenching over a 600 x 800 metre area. Mirasol completed a
15-hole, 3,200-metre RC drill program at the 5,515-hectare property.
Results include 18 metres of 2.16 g/t (grams per tonne) gold.
The nearby 100%-owned Atlas property has returned trench gold-silver
results of 6.7 m of 2.33 g/t Au and 1.09 g/t Ag; 4.6 m of 1.18 g/t Au
and 0.46 g/t Ag; and 5.2 m of 1.46 g/t Au and 12.37 g/t Ag, including
trench intersections of vuggy silica and breccia structures. An
aggressive exploration program is underway at this project located 5
kms north of the Titan project.
Advanced and added new targets at its principle 100%-owned Virginia,
Claudia and La Curva projects in Argentina last season:
Virginia Silver Project: Reported Mirasol has drill-defined seven
high-grade silver quartz vein shoots since the project's discovery in
2009. Initial metallurgical testing of the high grade vein material
returned silver recovery rates of between 75% - 91% using conventional
agitated leach and flotation techniques. Metallurgical testing of lower
grade vein halo material suggest a more refectory nature, however test
are ongoing. Additional surface exploration on the Virginia project
during the year has defined a series of new untested drill targets,
including targets with high grade silver mineralization in outcrop and
Claudia Gold-Silver Project: Hosts the extension of AngloGold Ashanti's
world class Cerro Vanguardia vein gold district. Mirasol's exploration
at Claudia identified a new large, multi-kilometer on-strike gold-
silver vein system at the Curahue prospect that is now drill ready.
New surface exploration and geophysics at the Rio Seco prospect
leveraged off the results of the 25-hole, 2,599-metre core drilling
program completed in 2012 to define a series of new high priority drill
La Curva: The 2012-2013 exploration program now counts 4 high quality
gold-silver prospects at La Curva, including Cerro Chato, Loma Arthur,
SW and Curva West. Results from last season's geochemical,
geophysical and new surface geology program defined potential for both
high grade vein mineralization and larger bulk tonnage mineralization
at the project. La Curva has high priority drill targets defined at
three of these prospects.
Share capitalization remains conservative with 44.2 million shares
outstanding after five equity offerings and private placements since
the Company's May 2005 initial public offering. Total equity
financings, including shares, warrants and options, raised for Mirasol
as a listed Company total approximately Cdn$42 million. The Company
has no debt, has a strong, liquid cash position and marketable
securities, and is managed by a team of dedicated exploration and
mining industry professionals.
Mirasol's effective four-person Board of Directors remains strong with
the addition of Borden Putnam III as an independent director in
December 2012. Mr. Putnam has spent the most recent 17 years as an
analyst for the investment management industry, predominately in
natural resources sectors (mining and oil and gas). Prior career
experience includes over 20 years within the mining industry, most in
senior and management positions with major producing companies, working
Mirasol's Board of Directors and Management are diligently monitoring
the competitive landscape, including the political environments where
the Company operates and the precious metals markets, to be fiscally
responsible and carefully manage the scope and investment in
exploration and other corporate activities to balance near-term and
long-term goals, and mitigate risks to shareholders.
The long-term vision remains unchanged - to be the best-valued prospect
generator in the precious metals sector and having the top exploration
team to build an exceptional portfolio of assets.
As Mirasol moves ahead into 2014, its goals for this fiscal year are as
Advance Titan and Atlas gold-silver projects in Chile toward a drill
test or JV decision using the Company's proven skills and cutting edge
Advance the Rubi porphyry copper-gold-molybdenum project in Chile
through its strong JV with copper producer First Quantum Minerals.
Actively seek quality JV partners to advance and add value to its
Argentine assets, which will reduce geopolitical exposure. (As a junior
with a strong balance sheet, Mirasol is uniquely positioned to
negotiate from a position of strength to secure a minority carried
interest of at least 25-30%).
Scale back exploration and overhead investment in Argentina for fiscal
2013-14 to approximately $250,000 per quarter until the challenging
resource development environment in Argentina improves.
Consider a broad range of external opportunities for accretive value
creation and future growth.
About Mirasol Resources Ltd.
Mirasol is a well-funded exploration and development company focused on
the discovery, exploration and acquisition of high-potential precious
metals deposits in the Americas, utilizing leading edge technology for
strategic advantage. Mirasol operates through subsidiary companies in
Chile and Argentina is engaged in generative exploration in
high-potential regions in the Americas. For further information, visit
Mirasol's web page at www.mirasolresources.com.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy and accuracy of this release.
Forward Looking Statements: Statements contained in this news release
that are not historical facts are forward-looking statements, which are
subject to a number of known and unknown risks, uncertainness and other
factors that may cause the actual results to differ materially from
those anticipated in our forward looking statements. Although we
believe that the expectations in our forward looking statements are
reasonable, actual results may vary, and we cannot guarantee future
results, levels of activity, performance or achievements.
SOURCE: Mirasol Resources Ltd.
For further information:
Mary L. Little
President and CEO
Tel: (604) 602-9989; Fax: (604) 609-9946