Canada NewsWire
TORONTO, Aug. 14, 2017
TORONTO, Aug. 14, 2017 /CNW/ - Nubian Resources Ltd. (the
"Company") (TSX VENTURE: NBR) is pleased to announce that the Company has entered into a binding letter of intent ("LOI") to
acquire the 800 hectare Rio Pampas Copper Gold Project located in the Pacobamba Chungui District of the Andahuaylas Province of
Peru (the "Project").
Highlights:
- Binding LOI to acquire up to 100% ownership of 800 ha Cu Au project.
- Located 80 km northeast of Andahualas in mining friendly southern Peru.
- Situated on the edge of the Eocene-Miocene aged Andahuaylas to Yauri Porphyry Copper Batholith.
Surface mineralization on the Project shows a strong foot print of sulphide and oxide Cu mineralisation stretching across an
area that appears to extend over 800 meters in a northwest direction and over a width of 300 metres. The mineralization is
consistent with that of Cu Au Porphyry, Quartz stockwork, mineralized breccias and poly-metallic skarn systems that exhibit low
sulphidation epithermal mineralised quartz veins and disseminated sulphides within the surrounding rock.
The Rio Pampas Cu Au porphyry system sits on the northeastern edge of the Eocene-Miocene aged Andahuaylas to Yauri
Porphyry Copper Batholith that stretches across southern Peru. This belt of rocks hosts some of Peru's large Cu Au porphyry deposits such as the Southern Peru Copper's Los Chancas Project as well as
the operating Tintaya and Las Bambas Copper Mines.
Under the terms of the LOI, Nubian has paid a US$50,000 deposit and has agreed to pay an
additional US$50,000 annually from the signing of the definitive agreement for a period of 10 years
to the Vendors. Nubian has also agreed to invest US$500,000 in development work in the first
12 months to earn a 51% of the Project. To earn an additional 9%, for a 60% interest, Nubian has agreed to invest an
additional US$1 million in the first five years. An additional US$2
million in exploration expenditures plus the payment of US$2 million to the Vendors between
the 5th and 10th year anniversary will increase the Company's ownership to 80%. Nubian can achieve 100%
ownership of the Project by paying the balance of US$9 million to the Vendors in the final two
years of the option agreement. It has been agreed that definitive documentation outlining the terms of the option agreement
will be completed within 90 days.
Martin Walter, Chief Executive Officer of Nubian stated, "We are extremely excited with this
acquisition securing Nubian an entry into one of South America's most promising Copper Gold
districts."
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 Nubian Resources Ltd.
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