MUNDORO OPTIONS OUT SAJE LEAD-ZINC PROJECT IN BULGARIA TO NEW PARTNER
May 9, 2018, Vancouver, BC – Mundoro Capital Inc. (TSXV: MUN, www.mundoro.com) (“Mundoro” or the “Company“) is pleased to report that it has entered into an Option Agreement (“Agreement”) with an arm’s length third party private company (“Private Company”) to which it has granted an option on one of Mundoro’s exploration projects, the Saje Lead-Zinc Project located within the Zvezda license in southeastern Bulgaria.
CEO & President, Teo Dechev commented “We are delighted to have signed this Agreement with a new partner in the region. Mundoro is achieving our corporate strategy to work with partners on select projects within our portfolio while retaining 100% ownership over a core portion of our portfolio. Realising value from our existing portfolio of over 10 licenses with multiple targets on various license is a key focus for the Company.”
Summary of Terms
Under the terms of the Agreement, the Private Company has committed to drill a minimum of 1000 meters on the Saje Project (“Option Period”). Thereafter, the Private Company will have one month to provide written notice to enter into an agreement with Mundoro in respect of the Saje Project. The Private Company is sole funding all costs during the Option Period. Upon entering into an agreement, the Private Company will pay to Mundoro annual advance royalty payments in January of each calendar year until commercial production. Mundoro will retain a 2% net smelter returns (“NSR”) royalty on any metals production at the Saje Project. The Saje Project has no carrying value in the Company’s balance sheet as at December 31, 2018.
Saje Lead-Zinc Project Information
The Saje deposit is located within Mundoro’s 100% owned Zvezda exploration licence area. The Saje deposit is a brownfield area that was initially explored starting in the 1960’s and exploited by a government run company from 1984 to 1992 for Lead and Zinc with by products of Copper and Silver. The deposit is situated in the western part of the Spahievo ore field at the eastern border of a rhyolite caldera. It is comprised of structurally controlled alteration zones, some of which are the main ore bearing zones. Zones are hosted in Eocene-Oligocene andesites intruded by monzonite pluton. The width of the ore zones vary from 1 m to 17.8 m. The ore mineralization is represented by galena, sphalerite and chalcopyrite. Table 1 below summarises the underground production from the deposit from 1984 to 1992 by the government run company:
|Period||Ore (kT)||Grade Content||Metals|
|Pb (%)||Zn (%)||Cu (%)||Ag (ppm)||Cd (ppm)||Pb (t)||Zn (t)||Cu (t)||Ag (kg)||Cd (kg)|
The historical production figures for the Saje deposit from 1984 to 1992 are derived from a report prepared in 1998 by the Government run company “Gorubso-Kardjali EAD”. This report is held with the Bulgarian National Geological Fund, who have made it available for public review. The qualified person has reviewed this report and verified the contents of the report and its conclusions. Nevertheless, the company does not have access to all underlying data and information used to prepare the report, and neither the qualified person nor the company are able to verify the reliability of the production figures or the key assumptions, methods and parameters used to prepare them.
Further Joint Venture Discussions
Mundoro ended Q1-2018 with approximately C$4.7 million in treasury with the Timok North Projects optioned to JOGMEC; and the Timok South Projects, which is the largest contiguous exploration area in the Timok district available for joint venture. The Company continues to have ongoing discussions regarding potential joint ventures for Mundoro’s Timok South Projects Iicenses: Savinac, Sumrakovac, Bacevica and Osnic. Although there are ongoing discussions, the Company cannot provide assurance that a transaction will be concluded as a result of these discussions.
Technical information contained in this Press Release has been reviewed and approved by Mr. G. Magaranov, P. Geo., Qualified Person as defined by National Instrument 43-101.
On behalf of the Company,
Teo Dechev, Chief Executive Officer, President and Director
About Mundoro Capital Inc.
Mundoro is a Canadian mineral exploration and development public company focused on building value for its shareholders through directly investing in mineral projects that have the ability to generate future returns for shareholders. The Company currently holds a diverse portfolio of projects in two European countries as well as an investment in a producing gold mine in Bulgaria and a feasibility stage gold project in China. The Company holds eight 100% owned projects in Serbia, the four Timok North Projects are in option to JOGMEC, and the four Timok South Projects are being advanced by Mundoro. Mundoro’s common shares trade on the TSX Venture Exchange under the symbol “MUN”.
For further information please contact:
Teo Dechev, CEO, President and Director of Mundoro Capital Inc. at +1-604-669-8055
Caution Concerning Forward-Looking Statements
This News Release contains forward-looking information and statements (“forward-looking statements”) under applicable securities laws. All statements, other than statements of historical fact, included or incorporated by reference in this News Release are forward-looking statements, including, without limitation, the completion of exploration work on any Projects and licenses and results of that exploration work, the prospect of one or more joint ventures on the Timok South Projects and other statements regarding activities, events or developments that the Company expects or anticipates may occur in the future. These forward-looking statements can be identified by the use of forward-looking words such as “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “believe”, “promising”, “encouraging” or “continue” or similar words or the negative thereof. The material assumptions that were applied in making the forward looking statements in this News Release include expectations as to the Company’s future strategy and business plan and execution of the Company’s existing plans. There can be no assurance that the plans, intentions or expectations upon which these forward-looking statements are based will occur. We caution readers of this News Release not to place undue reliance on forward looking statements contained in this News Release, which are not a guarantee of performance and are subject to a number of uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include general economic and market conditions, changes in law, regulatory processes, the status of Mundoro’s assets and financial condition, actions of competitors and the ability to implement business strategies and pursue business opportunities. The forward-looking statements contained in this News Release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this News Release are made as of the date of this News Release and Mundoro undertakes no obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise, except as required by law. Shareholders are cautioned that all forward-looking statements involve risks and uncertainties and for a more detailed discussion of such risks and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, refer to the Company’s filings with the Canadian securities regulators available on www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.