Eurasian Minerals Adds Royalty Partnership in Turkey for the
Alankoy Copper-Gold Project
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan 7, 2014) -
Eurasian Minerals Inc. (the "Company" or "EMX") (TSX-VENTURE:EMX)
(NYSEMKT:EMXX) is pleased to announce the signing of an Exploration
and Option Agreement (the "Agreement") with Ferrite Resources Ltd.
("Ferrite"), a privately-held Australian company, for the Alankoy
copper-gold property in northwestern Turkey. Ferrite has the option
to earn a 100% interest in the project through work commitments,
payments, and annual advance royalties ("AARs"). EMX will retain an
uncapped 3% production royalty that cannot be purchased in advance
or otherwise reduced. The Agreement represents the latest addition
of a partnership in the growing EMX royalty portfolio. All projects
in Turkey are now being advanced by partner companies, with the
portfolio consisting of four royalty properties, three properties
optioned for a retained royalty interest, and one property in joint
venture.
Commercial Terms. Pursuant to the Agreement, Ferrite has the
option to acquire EMX subsidiaries that hold the Alankoy project,
with EMX retaining a 3% production royalty from the project. To do
so, Ferrite is to pay $35,000 upon signing the Agreement and expend
at least $200,000 on exploration activities on the project each
year for the three years after satisfaction of the condition
precedent described below. In addition, Ferrite is required to make
annual deliveries of gold bullion to EMX as AARs. These will
consist of 75 troy ounces of gold (or cash equivalent thereof)
delivered on each of the first three anniversaries of the
satisfaction of the condition precedent to the Agreement, and AARs
of 100 troy ounces of gold (or cash equivalent) on all subsequent
anniversaries until commencement of commercial production. Ferrite
is also to pay 500 troy ounces of gold (or the cash equivalent) on
completion of a NI 43-101 or JORC compliant feasibility study.
As a condition precedent to the transaction, the General
Director of Mining Affairs of the Ministry of Energy and Natural
Resources of the Republic of Turkey ("MIGEM") must approve the
pending transfer of the Alankoy project license to the local EMX
subsidiary that Ferrite is to acquire. If MIGEM does not approve
the transfer by the first anniversary of the Agreement, either EMX
or Ferrite may terminate the Agreement.
Project Overview. Alankoy is located in Turkey's Biga Peninsula,
amidst a cluster of recent discoveries and advanced exploration
projects, including the nearby Halilaga porphyry copper-gold, TV
Tower epithermal gold-silver, and Kirazli epithermal gold-silver
deposits. Like other systems in the area, Alankoy is characterized
by alunite-rich epithermal alteration and the development of vuggy
silica lithocaps.
Historic work by MTA (Turkey's Directorate General of Mineral
Research and Exploration) in the late 1980s focused on the
near-surface gold mineralization in the lithocap, and included a
campaign of twelve core holes, all drilled to a pre-determined
depth of 151 meters. Most notable is MTA drill hole MJTC-10, which
was drilled toward the center of the system and ended in copper
mineralization. Copper and gold grades increased toward the bottom
of MJTC-10, with overlapping end-of-hole intercepts of 22 meters
(129-151m) averaging 0.25% copper and 55.5 meters (95.5-151m)
averaging 0.14 g/t gold (true widths unknown). No drilling below
151 meters was conducted, and drill hole MJTC-10 was never followed
up. From the Company's independent work, MTA's historic results are
considered to be representative, reliable and relevant.
Broad zones of hydrothermal alteration are obvious at Alankoy,
and EMX has identified multiple exploration targets on the property
via geologic mapping, rock and soil sampling, spectral analyses and
a ground magnetic survey. This work outlined a six square kilometer
area of lithocaps and quartz-alunite and argillic alteration with
multiple styles of mineralization. Soil sampling has delineated
coincident and zoned gold (> 50 ppb Au), copper (> 50 ppm
Cu), and silver (> 0.25 ppm Ag) anomalies, with anomalous
molybdenum (> 3-5 ppm Mo) outboard to the gold-copper-silver
mineralization. As well, EMX's ground magnetics data identified
what has been interpreted as a buried intrusive beneath the
copper-rich intercept in hole MJTC-10, and believes this represents
an area of high potential for discovery of porphyry-style
copper-gold mineralization.
Comments on Sampling, Assaying, and QA/QC. EMX's geochemical
samples were collected in accordance with CIM Best Practice
standards and guidelines. The samples were submitted to ALS Chemex
laboratories in Izmir, Turkey for sample preparation and Vancouver,
Canada (ISO 9001:2000 and 17025:2005 accredited) for analysis. Gold
was analyzed by fire assay with an AAS finish, and the
multi-element data underwent aqua regia digestion and analysis with
MS/AES techniques. As standard procedure, the Company conducts
routine QA/QC analysis on all assay results, including the
systematic utilization of certified reference materials, blanks,
and field duplicates.
EMX's Prospect and Royalty Generation Business Model. EMX's
development of a property portfolio in Turkey resulted from
"early-mover" execution of the prospect generation business model
starting in 2003. The properties were acquired at minimal cost
through the application of in-region geologic knowledge, and value
was built over time with partner-funded exploration work. The
partnering of all eight projects in Turkey is a milestone for the
Company. Importantly, seven of these projects are now in EMX's
organically grown royalty pipeline. The Company looks forward to
working with its partners as they continue to advance this
diversified portfolio of copper, gold, and base metal projects.
About EMX. Eurasian is a global gold and copper exploration
company utilizing a partnership business model to explore the
world's most promising and underexplored mineral belts. Eurasian
generates wealth via grassroots prospect generation, strategic
acquisition and royalty growth.
Mr. Michael P. Sheehan, CPG, a Qualified Person as defined by
National Instrument 43-101 and employee of the Company, has
reviewed, verified and approved the disclosure of the technical
information contained in this news release.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Forward-Looking Statements
This news release may contain "forward looking statements"
that reflect the Company's current expectations and projections
about its future results. When used in this news release, words
such as "estimate," "intend," "expect," "anticipate," "will" and
similar expressions are intended to identify forward-looking
statements, which, by their very nature, are not guarantees of the
Company's future operational or financial performance, and are
subject to risks and uncertainties and other factors that could
cause Eurasian's actual results, performance, prospects or
opportunities to differ materially from those expressed in, or
implied by, these forward-looking statements. These risks,
uncertainties and factors may include, but are not limited to:
unavailability of financing, failure to identify commercially
viable mineral reserves, fluctuations in the market valuation for
commodities, difficulties in obtaining required approvals for the
development of a mineral project, increased regulatory compliance
costs, expectations of project funding by joint venture partners
and other factors.
Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date of this
news release or as of the date otherwise specifically indicated
herein. Due to risks and uncertainties, including the risks and
uncertainties identified in this news release, and other risk
factors and forward-looking statements listed in the Company's
MD&A for the nine-month period ended September 30, 2013 (the
"MD&A") and most recently filed Annual Information Form for the
year ended period ended December 31, 2012 (the "AIF"), actual
events may differ materially from current expectations. More
information about the Company, including the MD&A, the AIF and
financial statements of the Company, is available on SEDAR at
www.sedar.com and on the SEC's EDGAR website at
www.sec.gov.
Eurasian Minerals Inc.David M. ColePresident and Chief Executive
Officer(303) 979-6666Dave@EurasianMinerals.comEurasian Minerals
Inc.Scott CloseDirector of Investor Relations(303)
973-8585SClose@EurasianMinerals.comwww.EurasianMinerals.com
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