ECR Minerals has got additional 60 days from the date of paying a US$1.3 million of cash to the Unchimé iron ore project’s proprietors in Argentina, to obtain a 70% primary possession interest in the Unchimé project.
The company needs extra time for proper due diligence completion on the project and has made a decision about continuing the acquisition.
The company has completed the diamond drill campaign at the Unchimé project in September and has examined the obtained core samples, though this process has been postponed because of the accumalation of samples globally at proper laboratories. Additionally, the company has been continuing the metallurgical test work program execution on the samples obtained from the Unchimé project.
At present, ECR has to pay US$1.3 million to the project holder for purchasing a primary 70% interest in the project within December 2011, subsequently by paying an amount of US$500,000 additionally for not above 7 months from the earlier payment date.
ECR Minerals’ MD has commented that the company is performing a comprehensive due diligence on the project compliant with the significant nature of the planned purchase. ECR is obliged to the current project proprietors for giving extra time.
Source: http://www.ecrminerals.com/