Abrasilver – Reviewing The Proposed Earn-In Option JV Agreement With Teck Resources On The La Coipita Project
John Miniotis, President and CEO of AbraSilver Resource Corp (TSX.V:ABRA – OTC:ABBRF), join us to review the proposed option and joint venture agreement with Teck Resources Limited (TECK-A.TO) (NYSE: TECK) to explore and develop the La Coipita copper-gold project in San Juan, Argentina. We have John outline for us what prior work the Company had done to attract a major partner like Teck, and the specific details of the proposed agreement.
AbraSilver and Teck will enter into the Option Agreement to grant Teck an option to acquire an 80% interest in La Coipita by funding cumulative exploration expenditures of US$20,000,000 over a five-year period, making staged cash payments to, and an equity placement in AbraSilver totaling US$3,000,000 (including an initial mandatory payment of US$500,000), and making up to US$6,300,000 in optional cash payments in respect of amounts payable to the underlying Project vendors. Following an initial transition period during which AbraSilver will support field operations, Teck will act as operator for the duration of the Option.
We wrap up with John discussing the upcoming Pre-Feasibility Study that is in the works for early in 2024, after having recently put out the updated Mineral Resource Estimate (MRE) on the Company’s wholly-owned Diablillos property in Salta Province, Argentina. The 258 million silver equivalent ounce MRE comprises an updated estimate for the Oculto deposit plus estimates for the JAC, Fantasma and Laderas deposits, all making up the overall Diablillos Project. The management team and board are also working on the details and plans for the upcoming Phase 4 drill program later in 2024, and John mentioned that some of the new targets like JAC North, Alpaca, and the gap area between Fantasma and Occulto are key priorities in the next phase of drilling.
If you have any follow up questions for John or Dave regarding at AbraSilver, then please email me at Shad@kereport.com.
- In full disclosure, Shad is a shareholder of AbraSilver at the time of this recording