Posted in | News | Gold | Mining Business

Urastar Energy Signs Letter of Intent to Acquire El Antimonio Property in Mexico

Urastar Energy Inc. (TSX VENTURE:URS) announces the option to acquire the El Antimonio property in Mexico.

El Antimonio is a major gold-antimony exploration property, consisting of 4,000 hectares located in northwest Sonora in the heart of the Mojave-Sonora Megashear.

The Property is located close to significant gold and silver producing heap leach mines including the Newmont Mining Corporation and Fresnillo PLC's La Herradura Gold Mine and Capital Gold's El Chanate Mine. El Antimonio has produced placer gold and antimony from gravel derived from numerous reported vein occurrences. Currently, local prospectors are recovering small amounts of gold nuggets from those gravels.

In a signed Letter of Intent, Urastar can earn a 100% interest in the El Antimonio by making the following option payments over a 5 year period:

In addition the owners will retain a 3% net smelter return ("NSR") royalty on the Property subject to the right of Urastar to purchase each 1% of the NSR (namely a 1% NSR) for $1,000,000.00 for five (5) years after signing. The Letter of Intent is subject to TSX Venture Exchange approval.

Urastar is excited about the work program on this excellent exploration property. The exploration target will be a bulk mineable gold deposit centered on one or more of the previously mined vein areas coupled with a new discovery. The potential is deemed excellent due to the presence of extensive zones of alteration and fracturing, the development of mineralized veins over a large area, and the fact that previous mining activity stopped at the water table and where overburden concealed the veins. The widespread fracturing and alteration of sedimentary rocks suggest potential for disseminated-style mineralization

Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo., is a designated Qualified Person pursuant to National Instrument 43-101 and prepared the technical information contained in this news release.

Source: Urastar Energy Inc.

Tell Us What You Think

Do you have a review, update or anything you would like to add to this news story?

Leave your feedback
Your comment type
Submit

While we only use edited and approved content for Azthena answers, it may on occasions provide incorrect responses. Please confirm any data provided with the related suppliers or authors. We do not provide medical advice, if you search for medical information you must always consult a medical professional before acting on any information provided.

Your questions, but not your email details will be shared with OpenAI and retained for 30 days in accordance with their privacy principles.

Please do not ask questions that use sensitive or confidential information.

Read the full Terms & Conditions.