VANCOUVER, Dec. 11, 2012 /CNW/ - Mirasol Resources Ltd. (TSX-V: MRZ, Frankfurt: M8R) Mirasol Resources Ltd. ("Mirasol") is pleased to announce it has reached an agreement to sell its 49% interest in the Joaquin Silver-Gold Project, Argentina, to Coeur d'Alene Mines Corporation ("Coeur") (NYSE:CDE;TSX:CDM), which has been operating on the Joaquin Project through an Argentine subsidiary.
Under the terms of the agreement, Mirasol will receive a total consideration of US$60 million, which includes a payment of approximately US$30 million in cash and a quantity of Coeur common shares valued at approximately US$30 million based on the ten trading day volume weighted average price prior to the date of Mirasol's acceptance of Coeur's offer, in return for Coeur acquiring Mirasol's subsidiary which holds the Joaquin property.
Mirasol's president and CEO, Mary Little, said, "Mirasol is delivering on its strategy of building value through making new discoveries in the areas where we explore. In the case of Joaquin, our partner Coeur plans to carry forward while we continue to engage in discovery-oriented exploration programs in Latin America. The proceeds of the deal will help sustain these efforts for the next several years. We are pleased to formalize the Joaquin sale and are committed to providing our shareholders with the best opportunities for exploration success."
The transaction has been approved by the Boards of Directors of Mirasol Resources Ltd. and Coeur d'Alene Mines Corporation but remains subject to customary closing conditions, including the receipt of regulatory approvals. The transaction does not require the approval of the shareholders of either Coeur or Mirasol.
In November 2006, Mirasol and Coeur entered into an exploration and joint venture option agreement with respect to the Joaquin project. In 2010, Coeur vested at 51% interest and has since proceeded to advance the project towards feasibility stage.
The Joaquin silver-gold deposit is a grass roots discovery initially identified by Mirasol through its proprietary exploration approach, upon which Coeur has defined a resource of Canadian National Instrument N.I. 43-101 mineral estimate of 38.4 million ounces silver in the Measured and Indicated categories plus 31.3 million ounces silver in the Inferred category. In addition, Joaquin contains 39,600 gold ounces in Measured and Indicated resources and 19,400 gold ounces in Inferred (Table 1 and Technical Report of September 21, 2012 at www.sedar.com). The N.I. 43-101 resource estimate was prepared by independent consulting firm NCL Ingenieria y Construccion Ltda. of Santiago, Chile, using a $30 per silver ounce and $1,500 per gold ounce price, and a resource cut-off of 30 g/t (grams per tonne) for silver oxide material and a 34 g/t silver cut-off for silver sulphide material, within Whittle®-estimated surface pit mine parameters.
|Table 1. Mineral Resources for the Joaquin Project at September 2012|
|Tonnes (000)||Grade (g/tonne)||Contained Ounces|
|Measured and Indicated Resources|
|Total Measured and Indicated||12,200||97.6||0.10||38,400||39,600|
- From September 21, 2012 Technical Report.
- Metal prices used were $30 per silver ounce and $1,500 per gold ounce.
- Oxide mineral resources estimated using a cut-off grade of 30 grams per tonne silver and sulphide mineral resources with a cut-off grade of 34 grams per tonne silver within Whittle®-estimated surface mine parameters.
- Mineral resources estimated by the consulting firm of NCL Ingeniería y Construcción Ltda. in Santiago, Chile.
- Mineral resources that are not mineral reserves have not demonstrated economic viability.
- Rounding may result in apparent differences between tons and grades contained ounces.
The estimate was prepared according to N.I. 43-101 standards and in accordance with CIM Standards on Mineral Resources and Reserves: Definitions and Guidelines (CIM 2005) by NCL, who was selected and contracted by Coeur, and who also performed the original NI 43-101 resource estimate (press release May 9, 2011).
About Mirasol Resources Ltd.
Mirasol is focused on the discovery, exploration and acquisition of high-potential precious metals deposits in the Americas, utilizing leading edge technology for strategic advantage. Mirasol currently holds an active portfolio of exploration properties in Santa Cruz Province, in the Patagonian region of Argentina, identified through the Company's proprietary exploration targeting and technology. Mirasol's 100%-held Virginia high grade silver vein discovery has advanced through more than 23,400 metres of drilling. Mirasol holds 100% of the rights to the Rubi copper-gold porphyry target, strategically located in the El Salvador copper mining district, as well as a new portfolio of gold exploration targets in northern Chile. Mirasol operates through subsidiary companies in Argentina and Chile and is engaged in generative exploration in high-potential regions in the Americas.
Quality Assurance/Quality Control:
Coeur d'Alene has been operating the Joaquin project and generated the drilling data used in this news release and reported it to Mirasol. Drill core samples were submitted to Alex Stewart (Assayers), Argentina S.A. and ALS Laboratories, both ISO 9000-2000 accredited laboratories located in Mendoza, Argentina. Gold and silver results were determined using standard fire assay techniques on a 30 gram sample with a gravimetric finish for gold and silver. Coeur's QAQC program includes the insertion of blanks, standards and duplicates into the sample stream for Joaquin drill holes. Mirasol has performed an independent analysis of the QAQC data generated by Coeur. Dr. Paul Lhotka has reviewed the Coeur resource in this news release, and is a qualified person as defined by National Instrument 43-101.
Exploration at Mirasol's Projects is supervised by Stephen C. Nano, Vice President of Exploration; Timothy Heenan, Exploration Manager; and Dr. Paul Lhotka, Principal Geologist. All technical information for the Company's projects is obtained and reported under a formal quality assurance and quality control (QA/QC) program. Drill core, rock chip and stream sediment samples are collected under the supervision of Company geologists in accordance with standard industry practice. Samples are dispatched via commercial transport to an ISO 9001:2000-accredited laboratory in Mendoza, Argentina for analysis. Results are routinely examined by an independent geochemist to ensure laboratory performance meets required standards.
Assay results from diamond drill core or RC drill samples may be higher, lower or similar to results obtained from surface samples.
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.
SOURCE: Mirasol Resources Ltd.
For further information:
Mary L. Little
President and CEO
Tel:(604) 602-9989; Fax:(604) 609-9946