Calibre Mining (
TSX.V:CXB,
Stock Forum), a Vancouver-based exploration and mine development firm engaged in acquisition, advancement and development of metal assets and mineral properties located in Nicaragua, announced today that the company had signed an option agreement with IAMGOLD (
TSX:T.IMG,
Stock Forum) on the Eastern Borosi Project in Nicaragua.
According to the
news release, the agreement, signed on May 26, 2014, allows IAMGOLD to earn up to 51% interest and an additional 19% interest in Eastern Borosi which hosts gold-silver resources in two deposits and a series of well-defined low sulfidation epithermal gold-silver targets.
To gain the 51% interest IAMGOLD must pay Calibre $450,000 and invest $5.0 million in the exploration of the project over three years. For the further 19%, IAMGOLD must pay another $450,000 and invest another $5.0 million in the project for a subsequent three years.
Company president and CEO, Greg Smith, commented, “Calibre is tremendously excited to have formed this partnership with IAMGOLD to advance the gold-silver resource potential of the Eastern Borosi Project. The Eastern Borosi Project represents less than 40% of Calibre's 463 km2 of 100% owned concessions in the Mining Triangle of Nicaragua.”
He went on to illustrate, “On the Eastern Borosi Project, Calibre has defined existing gold-silver resources at the Riscos de Oro and La Luna deposits and has also outlined a series of high priority drill targets all with existing permits allowing for drill testing of new, high grade vein targets and for expanding the existing gold-silver resource base.”
Then he concluded, “We welcome IAMGOLD to Nicaragua where they join B2Gold Corp and Alder Resources Ltd. as Calibre's partners in advancing the gold-silver-copper potential of the Borosi concessions. Calibre and our shareholders will benefit from our three partners investing a total of up to $12 million on the Company's gold-silver-copper projects over the next three years.”
Calibre was in the news recently when
the company returned 14.8 metres grading 1.85 g/t gold at the Minnesota Gold Project at the beginning of May.
Shares shot up 42.86% on the news to $0.05 per share.
Currently there are 187.9m outstanding shares with a market cap of $9.4 million.