Vancouver — Australian-based Delta Gold has inked a deal to earn up to 65% of Mindoro Resources’ (MIO-V) Pan de Azucar gold property on the Philippine island of Panay.
Under the terms of the deal, Delta can earn an initial 45% stake by spending A$4.5 million on exploration over a four-year period. The mid-tier producer can then earn an additional 10% by completing a bankable feasibility study. At this stage Delta would hold a 55% interest, Mindoro would have 25% and a Philippine company would hold 20%. Both Delta and Mindoro have the option to purchase a further 10% from the Philippine partner by making cash payments totalling 0.5% of the gross value of the mining reserves.
Mindoro has been exploring the property since 1997 and has outlined a 2-by-2-km area of alteration and mineralization that is indicative of a high-sulphidation gold-copper system.
An induced-polarization geophysical survey is slated to get under way in June. It will be aimed at refining drill targets.
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