Mike Fagan,
Editor
Oct. 18, 2024
Prospect generator Latin Metals Inc. (TSX-V: LMS)(OTC: LMSQF) — currently trading around C$0.10 per share — has announced an option agreement with privately-held Moxico Resources on the Esperanza and Huachi copper-gold exploration projects, San Juan Province, Argentina.
Moxico can initially earn up to 75% in the two projects for cash payments to LMS of US$2.77M, including US$350K that has already been paid. Full details, including Moxico’s option to earn an additional 25%, are available here.
Work commitments due as part of the option agreement include a minimum of 65,000 meters of drilling across the two projects to be fully funded by Moxico.
The Esperanza project boasts a partially defined copper-gold porphyry system over a 1,400 meter x 850 meter area where Latin Metals intercepted (Drill-Hole 18-ESP-025; 2018):
- 387 meters grading 0.57% copper and 0.27 grams per tonne (g/t) gold; including
- 166 meters grading 0.84% copper and 0.37 g/t gold from surface
Latin Metals reports that mineralization remains open in all directions with an interpreted vector to the west towards the adjoining Huachi property (see below).
Latin Metals CEO Keith Henderson — whom you’re about to hear from directly in our exclusive interview coming right up — commented on the option agreement with Moxico via press release:
“Quality of option partners is a key ingredient in the success of any company operating with a prospect generator model and we are happy to have reached an agreement with Moxico, which has strong financial and technical capabilities. The Esperanza project has seen 8,500m of drilling, with Latin Metals’ best drill hole intersection returning 387m grading 0.57% copper and 0.27 g/t gold from surface, including 166m grading 0.84% copper and 0.37 g/t gold from surface. We look forward to seeing results from the exploration to be completed by Moxico.”
Importantly, the underexplored, drill-ready Esperanza property has never been drill-tested below 400 meters so it will be interesting to see if the copper-gold porphyry system extends at-depth.
With tens of thousands of meters planned in the upcoming program, that very important question could have a definitive answer in the form of drill core assays sooner rather than later.
The eventual strike length and depth extent of the mineralization at Esperanza could also have longer-term implications for Latin Metals as Moxico, pending the outcome of the drilling and subsequent geological studies, could end up paying LMS upward of US$20M for the remaining 25% interest in the two properties.
Large Project Portfolio:
As an active prospect generator, British Columbia-based Latin Metals’ portfolio spans an impressive eighteen 100%-owned and partner-funded exploration projects (precious and base metals), plus two royalties, in Peru and Argentina.
The portfolio is anchored by key collaborations with major industry players, including AngloGold Ashanti (Organullo Gold Project, Argentina) and Newmont Corp. (Lacsha Copper Project, Peru).
Latin Metals also announced the strengthening of its Technical Advisory Board with the appointments of mineral exploration professional Fionnuala Devine and professional engineer and geologist Mike Basha, both of whom bring decades of regional experience to the LMS team.
In terms of current work commitments, Latin Metals anticipates a combined C$5 million in partner investments across the project portfolio for full-year 2024, not to mention the fully-funded 65,000 meters to be carried out by Moxico Resources at Esperanza/Huachi commencing next year.
Hence, lots of irons in the fire and plenty of news flow ahead in the coming quarters for Latin Metals as it advances multiple 100%-owned and partner-funded early-stage exploration projects in key mineral districts in Argentina and Peru — all at a current sub-C$10M market cap.
As promised, our own Gerardo Del Real of Junior Resource Monthly caught up with Latin Metals CEO Keith Henderson to go over the newly-announced option agreement with Moxico Resources on the Esperanza and Huachi projects, San Juan Province, Argentina. Please enjoy!
For more information on Vancouver-based Latin Metals, please contact the company’s IR department at 604-638-3456 or via email at info@latin-metals.com. Sign up to receive updates directly from Latin Metals here.
Yours in profits,
Mike Fagan
Editor, Resource Stock Digest
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