NewswireToday - /newswire/ -
London, United Kingdom, 2011/02/28 - Mineral Mining PLC, mineral-mining.co.uk (London, Frankfurt: M8M) and Uzkimyosanoat (Tashkent, Uzbekistan) sign Joint Venture Agreements for Chemical Minerals exploration in Uzbekistan and $50 Million Financing of Exploration.
Mineral Mining PLC (Frankfurt: Mineral Mining PLC) (the "Company" or "Mineral Mining PLC") mineral-mining.co.uk is pleased to announce that it has entered into a Strategic Alliance and Earn-In Agreement (the "Agreement") with Uzkimyosanoat ("UZ") focused primarily on Mineral exploration in the country of Uzbekistan.
The Agreement includes a regional strategic exploration alliance that covers all of Uzbekistan (subject to certain exclusions), an agreement to designate the Turk South Mineral property as a Designated Project with the right of Uzkimyosanoat to earn up to a 70% interest therein.
The Strategic Alliance will seek to capitalize on Mineral Mining PLC's ongoing exploration efforts in Uzbekistan, and advance several properties already in the portfolio. To date, Mineral Mining PLC has acquired 10 exploration licenses and has an additional five applications on file with the Uzbekistani Mines Inspectorate, comprising 600 square kilometers of mineral rights.
These properties contain a variety of porphyry Mineral and Iron-Oxide-Mineral-Gold (IOCG) exploration targets, in addition to known areas of Mineral, gold, and platinum group element (PGE)-enriched styles of mineralization.
Regional Strategic Alliance and Designated Projects
Uzkimyosanoat and Mineral Mining PLC, through the establishment of a technical committee, will conduct a regional generative exploration program to identify additional prospective properties for acquisition, with Mineral Mining PLC serving as operator (the "Alliance Phase").
Uzkimyosanoat will contribute funding of at least $20,050, 000 USD annually for a two year period. At the end of the period, the Alliance may be extended by mutual agreement with Uzkimyosanoat funding a minimum of $20,050, 000 USD annually for as long as the agreement is in place. The focus on Chemical-Mineral does not prohibit the Alliance from exploring for other minerals if the opportunity arises. In the event a property reviewed during the Alliance Phase meets certain criteria it may be classified as a Designated Project ("DP"), and will be subject to the terms and earn-in conditions described below. Properties will be acquired in the name of Mineral Mining PLC, and if a property is declined as a Designated Project, Mineral Mining PLC is free to advance that property on its own terms with no further obligation to Uzkimyosanoat.
All existing properties in the Mineral Mining PLC portfolio in Uzbekistan will be subject to the terms of the Strategic Alliance agreement, and Mineral Mining PLC will be reimbursed acquisition costs for any projects that it nominates, and Uzkimyosanoat accepts, as a Designated Project.
Turk South Designated Project
Upon execution, seven properties known collectively as the "Turk South Properties" will become an initial Designated Project. These include Mineral Mining PLC's Pikkujarvi 1, 2, 3 and 4, Puoltsa 10, and the Kalixfors 1 exploration permits, and an additional property that is under application for an exploration permit. The Pikkujarvi and Puoltsa properties contain several IOCG targets, including a zone of historic drill-defined Mineral and gold mineralization on the Pikkujarvi 1 license. Coincident geophysical and geochemical anomalies persist for approximately 4 kilometers along strike; these areas have not yet been drill tested.
Porphyry-style alteration and Mineral-gold mineralization was intersected at the nearby Sakkek prospect in a shallow 80 meter hole drilled by the Uzbekistani Geological AB (a state-owned exploration service company) in the mid 1980's. The hole was drilled along the margin of a prominent 1.5 kilometer x 1 kilometer geophysical anomaly that coincides with a stock of quartz-feldspar porphyry, and contains one meter intercepts of up to 2.07 percent Mineral and 0.31 grams per tonne gold. In addition, a number of untested Mineral and molybdenum geochemical anomalies as well as porphyry Mineral-gold-molybdenum occurrences are located elsewhere in the
"Turk South Properties".
Other Mineral Mining PLC Properties in Uzbekistan
Mineral Mining PLC (mineral-mining.co.uk) has applied for and has been granted several other exploration permits in Uzbekistan, in addition to two permits acquired as part of the purchase of the Phelps Dodge Exploration Uzbekistan subsidiary. Properties acquired by Mineral Mining PLC to date include:
- The Storasen Mineral-gold-PGE property in west central Uzbekistan, which contains a zone of drill-defined Mineral, gold and PGE mineralization that extends for nearly one kilometer along strike along with numerous surface geochemical anomalies, mineralized boulders and mineral occurrences that have yet to be tested.
- The Norrmyran permit, part of the PDES acquisition, which includes outcropping Mineral-gold mineralization and geology favorable for further discoveries.
- Several other permit areas are prospective for IOCG and porphyry Mineral-gold type deposits.
Some of the statements in this news release contain forward-looking information that involves inherent risk and uncertainty affecting the business of Mineral Mining Actual results may differ materially from those currently anticipated in such statements.
Neither the Mineral Mining nor Uzkimyosanoat accepts responsibility for the adequacy or accuracy of this release.