Australian mineral exploration company AXG Mining has signed an agreement with Toronto Stock Exchange (TSX) listed Lara Exploration for the exploration of copper, gold, molybdenum porphyry projects in the Andahualyas Yauri mineral field located in south Peru.
The Andahualyas Yauri mine field is also host to mines like Tintaya, Las Bambas, Antapaccay, Constancia, Haquria and Quechua project. These mines are operated by companies like Xstrata, Hudbay Minerals, First Quantum Minerals and Pan Pacific Copper Company.
The belt is rich in mineralization with an inferred and indicated resource of over 4 billion tonnes. The agreement will allow AXG Mining to earn 75% from the Condoroma and Coporaque projects. The maiden drill campaign on these projects will begin in April / May 2012.
Condoroma is situated around 45 kilometres from a sealed road and Coporaque close to the town of Espinar. Bother projects are close to existing mining operations and would be easier to develop in the future.
The Peruvian mining industry is also in a state of growth with a strong mining culture taking root. While there have been anti mining protests against the Minas Conga copper mine development, the government has taken strong steps to diffuse them. This includes imposition of emergency by President Ollanata Humala in the affected states.