Mariana Resources Ltd / Epic: MARL / Market: AIM / Sector: Gold
Mining
Mariana Resources' right to acquire 100% of the Sierra Blanca
High-Grade Silver-Gold Project, Southern Argentina
Mariana Resources Ltd ('Mariana Resources' or 'the Company'), the AIM
quoted exploration and development company focussed in Argentina and
Chile, has secured an option ('the Option') to acquire the remaining
30% interest in the Santa Cruz Joint Venture ('the Santa Cruz JV')
from IAMGOLD Corporation ('IAMGOLD'). The Santa Cruz JV comprises
the Sierra Blanca and Canadon Largo silver-gold projects ('the
Projects') in the emerging Deseado Massif gold-silver district in
Southern Argentina.
Overview
* Two year option to acquire remaining 30% interest in Santa Cruz
JV from IAMGOLD
* The Option may be exercised by paying US$500,000 and issuing the
equivalent of US$500,000 in Mariana Resources shares to IAMGOLD
* IAMGOLD will be awarded a 1.5% royalty on net smelter returns
from any commercial mineral production from the two projects
* Focus on the Sierra Blanca silver-gold project, which has a
multiple epithermal vein system with high grade silver drill
intercepts - 3,000m drill programme planned Q2 2010
Mariana Resources Managing Director John Sutcliffe said, "This
agreement, which gives Mariana 100% control of the Santa Cruz JV, is
an important step forward and will enable us to fast-track
exploration at the Sierra Blanca silver-gold discovery in Southern
Argentina. With this in mind, we are planning to test for concealed
silver-gold targets along the 4 km long Veta Chala - Lucila trend in
Q2 2010 to further assess the economic potential of the project.
"I would like to thank IAMGOLD for its support and commitment over
the past fours years, during which time our partnership has delivered
some real successes, including the Sierra Blanca silver-gold
discovery."
IAMGOLD's Senior V.P. Exploration Michael Donnelly said, "The Sierra
Blanca project is demonstrating promising potential for developing
into a silver deposit similar to those found in the Deseado precious
metals district of Santa Cruz. Although the exploration upside is
intriguing, the commodity mix and area falls outside IAMGOLD'S
current corporate objectives. However, the new agreement with
Mariana will safeguard our commercial interest in the property and
help move the project ahead. We have enjoyed our working relationship
with Mariana on the joint venture, and wish them continued
exploration success."
The Santa Cruz Joint Venture - Option to acquire remaining 30%
interest
The Santa Cruz JV comprises the Sierra Blanca and Canadon Largo
projects, which are centrally located in the emerging Deseado Massif
gold-silver district in Southern Argentina. Mariana Resources
originally earned a 70% interest in the Santa Cruz JV in January 2009
by conducting a US$2 milli
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