- Minera Alamos (MAI) has completed the acquisition of the Cerro de Oro gold project in Mexico
- The project is made up of two properties, the Zacatecas I and Zacctecas II concessions and will broaden Minera’s holdings in the region to 6,500 hectares
- Minera will pay approximately C$3.83 million in cash and four million shares over numerous tranches in exchange for the property
- Minera raised funds for the acquisition through the sale of non-core equity holdings, which generated $1.39 million in proceeds
- Minera Alamos (MAI) is in a trading halt and last traded at $0.61 per share
Minera Alamos (MAI) has completed the acquisition of the Cerro de Oro gold project in Mexico.
The project is made up of two properties, the Zacatecas I and Zacctecas II concessions.
The two minerals claims have an extensive history of past exploration, with76 holes sunk for 8,200 metres of total drill work to-date.
The two concessions surround other properties Minera owns in the area, and will bring its total holdings in the region to 6,500 hectares.
Minera will pay approximately C$534,452 in cash and issuing two million shares upon closing the deal. The company is then scheduled to pay approximately $3.33 million in cash in tranches over the next 48 months, alongside issuing a further two million shares.
The company paid for the initial acquisition costs through the sale of some non-core equity holdings for $1.39 million.
CEO of Minera Alamos Darren Koningen said the new project has many characteristics that mimic the El Castelo gold mine our team developed under the Castle Gold corporation banner from 2007 until its eventual sale in 2010.
“Cerro De Oro contains a large disseminated gold system with a significant oxidation profile and a low implied stripe ratio with the majority of mineralised areas outcropping at surface. Northern Zacatecas has a rich mining history and hosts some of the largest gold deposits in north-central Mexico.
“We look forward to working with the local community and Mexican mining authorities too rapidly advance permitting and establish a new mine in the district,” he said.
Minera Alamos (MAI) is in a trading halt and last traded at $0.61 per share at 11:30 am EDT.