25.4 C
Belgrade
Supported byspot_img
spot_img

Mundoro and Vale MoU on two projects in Serbia

Member of Europium Groupspot_img
Supported byspot_img

In November 2019, Mundoro Capital granted Vale an earn-in option on four exploration licenses within the Timok Magmatic Complex. Under that deal, Vale can acquire a 75% interest in the projects for total exploration expenditures of $45 million. Mundoro has now expanded its relationship with Vale by signing a binding memorandum of understanding (MOU) on two of its exploration licenses in Serbia, the copper-gold project generator company announced.

The two licenses (Savinac and Bacevica) are located in the southern portion of Timok, which is one of the most prolific metallogenic domains in the Tethyan Belt that extends from eastern Europe, through Turkey to Iran and Pakistan.

Timok hosts the recently discovered Cukaru-Peki deposit and several producing mines: the Bor copper porphyry underground mine and the Majdanpek and Veliki Krivelj copper-gold porphyry open-pit mines. These properties, together known as the Bor mine complex, are currently controlled by China’s Zijin Mining Group.

Supported by

Under the terms of the MOU, Vale can earn a 100% interest in the projects by spending $2 million on exploration over two years. Should Vale extend the option period for an additional year, it will pay $1 million during such extension year.

Mundoro will be the operator of the projects and receive an annual fee of $200,000 during the option period.

Upon exercise of the option, Mundoro will retain a 2% NSR royalty on the projects, of which Vale will have an option to purchase up to 1% of the NSR royalty with payments tied to the gold price at that time. At the current gold price, the value of the 1% NSR is estimated at $9.2 million.

Following exercise of the option, Vale must also make milestone payments to Mundoro totaling $9 million upon completion of four major milestones, beginning with a resource estimate filing and ending with the attainment of a development permit.

Source: mining.com

 

 

Supported byElevatePR Digital

Related News

Unlocking Serbia’s gold reserves: Surge in mining exploration

Data from the World Gold Council reveals that approximately 210,000 tons of gold have been extracted globally thus far, with a significant portion, around...

BHP joins hunt for Serbian copper

BHP, the largest Australian miner, has struck a new deal to explore for copper in Serbia as it accelerates efforts to boost its exposure...

Mining companies have no intention of leaving Serbia and there will be more and more of them

Mining companies have no intention of leaving Serbia and there will be more and more of them, and justice and laws are not on...

Who are the main players in the ore exploration business in Serbia

A dozen companies based in Australia, Canada and China, through offshore companies and affiliates in Serbia, control about 90 percent of the territory in...
Supported by
Supported by
Supported by
error: Content is protected !!