Mitre Mining Corporation Limited (ASX: MMC) has agreed to acquire 100% of the Cerro Bayo Silver-Gold Project in Chile for a total consideration of A$5.0M, of which A$4.0M is payable upfront.
The acquisition transforms Mitre into a significant silver-gold exploration company with Cerro Bayo’s existing JORC 2012 inferred resource estimate standing at 3.82Mt at a grade of 206g/t AgEq for 24.7Moz of contained AgEq, with significant scope for short term Resource growth potential.
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Cerro Bayo also includes the 500,000tpa Cerro Bayo flotation plant and mining infrastructure, existing mineral resources, and +300km2 mining claim package, previously operated by Equus Mining Ltd (ASX: EQE).
Mr. Shorrocks continued, “The infrastructure alone has a replacement value of more than A$150M. And in addition to the significant resource, there is abundant known mineralization which will help underpin rapid resource growth and immense district-scale potential.”
Additionally, the company plans to undertake a two-tranche placement to raise A$8.3M to fund the acquisition and enable Mitre to immediately establish a near mine rapid resource growth programme focusing on increasing the high-grade silver-gold resource base.
To find out more, please visit www.mitremining.com.au
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