Coro Announces Acquisition of New Chilean Copper PCoro Mining Corp (COP:TSX) - News Alert
Coro Announces Acquisition of New Chilean Copper Project and Provides Corporate Update
Coro Mining Corp. ("Coro" or the "Company") (TSX:COP) is pleased to announce that it has entered into an option agreement to acquire the Berta Property from a local Chilean claim owner. The 506 hectare property hosts porphyry copper style mineralization and is located approximately 20km west of the village of Inca de Oro in the III Region of Chile, at an elevation of 1700m. The Inca de Oro porphyry copper project being developed by PanAust and Codelco, which has a published indicated resource of 180.5 million tonnes at 0.45% Cu + 0.15g/t Au, is located immediately adjacent to the village of the same name. Anglo American's Manto Verde operating copper mine is located 33km to the northwest of Berta, and Far West Mining's Santo Domingo project currently being acquired by Capstone Mining and Korea Resources Corporation for approximately $725 million, is located 30km to the northeast.
Berta Option Terms
Coro may acquire 100% of the Berta property for a total of US$6,000,000 by making the following staged option payments;
On signing: US$200,000
12 months from signing: US$800,000
24 months from signing: US$1,500,000
36 months from signing: US$3,500,000
In addition, a 1.5% NSR is payable on any sulphide copper production together with any byproduct metals.
Alan Stephens, President and CEO of Coro, commented, "We are very pleased to have identified and acquired the Berta property on reasonable terms. The previous work has demonstrated that significant potential exists for a copper project meeting our criteria and we intend to initiate a reverse circulation drilling program to confirm this as soon as a drill rig can be procured. Assuming positive results and drill rig availability, we anticipate completing an initial resource estimate within 12 months."
About Berta
Berta has previously been explored by two major mining companies in the 1990's who completed wide spaced shallow percussion drilling (48 holes, 1090m), reverse circulation ("RC") drilling (49 holes, 6033m), and bulldozer trenching. More recently, Grandcru Resources Corp. completed a ground magnetic survey and diamond drilling (9 holes, 3311.4m) in 2006-2007. All of the previous holes were assayed for total copper (%CuT), and the oxide sections of 42 of the RC holes were assayed for acid soluble copper. All but 42 of the RC holes were also assayed for molybdenum. Small scale artisanal mining of copper oxide bearing breccias, is currently taking place on the property. According to available information, the focus of Grandcru's work was to evaluate the breccia bodies themselves, as well as to test for an immediately underlying porphyry source for the breccias.
Based on an evaluation of the previous work, Coro believes that good potential exists for porphyry style copper mineralization at Berta, associated with potassic alteration related to tonalite porphyries emplaced in Cretaceous age granodiorite host rocks. This mineralization appears to coincide with several discrete magnetic lows with the breccia bodies being peripheral to the porphyries, rather than overlying them as interpreted previously. The drilling completed to date has intersected both near surface copper oxide mineralization averaging approximately 0.5%CuT with good acid solubility, as well as underlying primary copper sulphide mineralization of a similar grade, in some of the deeper holes. Copper oxide mineralization typically extends from surface to 25-50m depth, but reaches more than 100m in places.
San Jorge Update
As foreshadowed in the Company's news release of May 3rd 2011, we now believe it increasingly likely that the ratification of the San Jorge project Environmental Impact Study ("EIS") by the Mendoza Provincial Legislature will be deferred until after the elections scheduled for October 2011. Meanwhile, as part of our "Good Neighbour" policy, the Company has established the Minera San Jorge Foundation which has initiated the development of the agricultural and eco-tourist potential of the large ranch on which the project is located, and is assisting in the socioeconomic development of the Uspallata community. Coro remains confident that the San Jorge EIS will receive legislative ratification in due course.
Chacay Update
The Chacay diamond drilling program is progressing well, with one hole completed to 759m depth, and 3 more planned to similar depths. The first hole, CH-DDH-02 intersected the Nacho Zone chalcocite blanket as predicted, as well as primary mineralization comprising finely disseminated chalcopyrite and molybdenite together with minor bornite in a potassically altered diorite porphyry. Assay results from each complete hole of the diamond drilling program will be released as they are received. The Coro website now has an updated section on the Chacay project.
El Tapao Update
Grid sampling of the recently acquired El Tapao prospect has been completed and assay results are awaited. A ground magnetic survey will commence shortly.
Cash Position
The Company recently had 3.4 million of its
.50 warrants exercised which generated proceeds of $1.7 million. After signing of the Berta agreement, the Company has approximately $15 million in cash and cash equivalents.
CORO MINING CORP.
Alan Stephens, President and CEO
About Coro Mining Corp.:
The Company was founded with the goal of building a mining company focused on medium-sized base and precious metals deposits in Latin America. The Company intends to achieve this through the exploration for, and acquisition of, projects that can be developed and placed into production. Coro's properties include the advanced San Jorge copper-gold project, in Argentina, and the Chacay, Llancahue, El Tapao and Celeste copper exploration properties located in Chile.
This news release includes certain "forward-looking statements" under applicable Canadian securities legislation. Such forward-looking statements or information, including but not limited to those with respect to the prices of copper, estimated future production, estimated costs of future production, permitting time lines, involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such factors include, among others, the actual prices of copper, the factual results of current exploration, development and mining activities, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's documents filed from time to time with the securities regulators in the Provinces of British Columbia, Albe
rta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador.
SOURCE: Coro Mining Corp.
Coro Mining Corp.
Michael Philpot
Executive Vice-President
(604) 682 5546
investor.info@coromining.com
www.coromining.com
COP at 12:00PM ET on June 13, 2011 is:
Last:
.88 CDN
Change: -0.04
Volume: 49,254
P/E Ratio: 18.06
Today's High:
.90 CDN
Today's Low:
.88 CDN
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