Karbonate Minerals Corp. Agree Deal to Receive 27% Production Royalties in Exchange for Carrying Out Complete Site Exploration in Argentina
Karbonate Minerals Corp. has announced an agreement with an Argentinian-owned mining start-up to conduct exploration at their 39 square kilometre project in Argentina's San Juan Province. The agreement was made possible because Karbonate Minerals Corp. already possesses most of the necessary equipment and personnel at their project in La Rioja, which is approximately 200 kilometres northeast of the San Juan project.
Under the terms of the agreement, Karbonate Minerals Corp. will receive a 27% royalty on all gold produced from the project throughout its lifespan in exchange for conducting the exploration. The exploration process is expected to take up to 2 years to complete. The site will be divided into four areas: Alpha NW, Alpha NE, Alpha SW, and Alpha SE. Each area will have its results analysed before moving on to the exploration of the next area. These areas are approximately the same size.
Oliver Denton, the Director of Projects at Karbonate Minerals Corp., expressed enthusiasm about the opportunity to assist the start-up project, which was offered by the Argentinian government. Denton stated that their company's ability to identify gold deposits with minimal ground disruption, using advanced techniques, distinguished them from other mining operations and played a crucial role in obtaining this unique opportunity. Denton also noted that this collaboration would help Karbonate Minerals Corp. establish a broader presence within the Argentinian gold mining community.
Denton further added that his teams would begin work in the next few months, and the first analysed results from area Alpha NW are expected to be available within four months after the completion of exploration in that area.
A spokesperson for the start-up company expressed excitement about having Karbonate Minerals Corp. assist in identifying prime mining areas even before ground excavation, emphasizing the immense long-term value it would bring.
Both companies will keep their shareholders informed of any new developments as they arise.
