Mawson Completes the Final 7% Purchase of the Alto Quemado Gold-Copper Project in Peru
Vancouver, Canada - Mawson Resources Limited ("Mawson") TSX - MAW; Frankfurt - MRY. Mr Michael Hudson, President & CEO, announces the Company has completed an agreement to purchase the final 7% of the company which holds the option to acquire 100% of the Alto Quemado gold-copper project in the mineral-rich Southern Peru Mineral Belt.
Completion of this agreement allows Mawson to acquire 100% of the stock of the optionor, Altynor Peru SAC ("Altynor"). Altynor holds an option to purchase 100% of the Alto Quemado gold-copper project from Alto Quemado Mining Company SAC ("AQMC"). The 100% acquisition terms from arms length parties are based on making staged payments of US$50,000 on signing, US$550,000 on receipt of permits to drill and US$900,000 should the option with AQMC be triggered.
Alto Quemado is a significant new discovery in Peru. It was not until informal miners from 2001-2007 exposed a network of high-grade gold structures beneath a gold-depleted weathered veneer that the true potential of the area was recognized and documented by Altynor's geologists. Two styles of mineralization have been identified at the Property:
- High-grade near-term production gold target. Low sulphidation gold-copper mineralization present as multiple high grade (25g/t Au in oxide and +40g/t Au in sulphide) mineralized structures, typically 0.5m to 1.5m wide (locally up to 15m), and traceable for greater than 3km. Structures may contain significant copper.
- Large tonnage copper-gold porphyry target. The high-grade gold structures are hosted within an extensive argillic alteration system and lie adjacent to a leached porphyry exposed in outcrop that displays a strong IP response over 1.8km by 500m (remains open). Based on the IP signature, porphyry textures at surface, geochemically anomalous copper and molybdenum at surface and proximity to large porphyry copper mines, potential for the discovery of an underlying porphyry at the project is strong.
"Mawson has been exploring the Alto Quemado site for 3 months and has conducted extensive mapping and sampling which has significantly increased our understanding of the property. Results from these programs will be released as they become available. The Company is currently rehabilitating the artisanal workings to map and sample the high-grade gold structures beneath the leached surface cap as well as grid sampling the Santa Maria porphyry area. Once Mawson has finalized our agreements with AQMC, we look forward to advancing environmental permitting to enable the project to be drill tested in 2011." said Mr Hudson.
The underlying agreement between Altynor and AQMC allows Altynor to acquire 100% of the mining rights from AQMC by payment of €2.56M in 20 months from receipt of drill permits. AQMC retain a 3% net smelter return which is purchasable. If production is not achieved within 4 years another payment of €2.56M is due. Mawson remains in discussion with the owners of AQMC to modify specific terms of the agreement.
About Mawson Resources Ltd (TSX:MAW, FRANKFURT:MRY, PINKSHEETS:MWSNF)
Mawson Resources Ltd is a resource acquisition and development company with METAL and ENERGY interests.
Mawson has distinguished itself as the leading Scandinavian uranium exploration company, with advanced projects in Sweden and Finland. As the European Union moves to reduce its reliance on carbon-based energy sources and continues to debate energy security, Mawson is well positioned to provide Europe with the option to fuel its future. Areva NC holds 11% of the Company and provides Mawson with an active technical partner.
In addition, the Company is exploring for gold and copper in the highly prospective Cordillera of Peru, with a focus on a new high grade gold discovery at Alto Quemado.
With a strong cash position and a multi-jurisdiction European and South American portfolio, Mawson is ideally positioned to enhance its status as a leader in the uranium and gold industries.
Shares Outstanding: 42,697,253. Cash: approximately C$9.0 million.
On behalf of the Board,
Michael Hudson, President & CEO
1305 -- 1090 West Georgia St., Vancouver, BC, V6E 3V7
Company Contact: Mariana Bermudez +1 (604) 685 9316
Investor Relation Consultants - Mining Interactive
Nick Nicolaas +1 (604) 657 4058
Forward Looking Statement. The statements herein that are not historical facts are forward-looking statements. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in the company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement. The TSX Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Altynor samples were analyzed by SGC laboratories in Lima, Peru with gold analysed by technique Au-FAA515 and over range determined by Au-FAG505, copper and silver were assayed by Ag-AA12CP and Cu-AA12CP techniques. Mawson samples were analyzed by ALS CHEMEX laboratories in Lima, Peru with techniques ME-ICP61a, Au-SCR24. The qualified person for the Alto Quemado project, Michael Hudson, director and President & CEO for Mawson, and a Fellow of the Australasian Institute of Mining and Metallurgy, has reviewed and verified the contents of this release.