New Oroperu: Tres Cruces Project Update - Barrick Makes Option Payment on Tres Cruces
Newsfile Corp.
Vancouver, British Columbia--(Newsfile Corp. - June 12, 2019) - New Oroperu Resources Inc. (the "Company" or "New Oroperu") (TSXV: ORO) is pleased to report that Barrick has made the 2019 payment to maintain its option on the Tres Cruces project.
The Tres Cruces property, 100% owned by New Oroperu, is under an Option to Purchase Agreement (the "Agreement") with a Peruvian subsidiary of Barrick Gold Corp., Minera Barrick Misquichilca S.A. ("Barrick"). Maintaining the option requires an annual payment of US$250,000, subject to 30% withholding for Peruvian tax. Under the terms of the Agreement all exploration expenditures deemed necessary by Barrick to make a production decision will be paid by Barrick at no cost to the Company. Following a production decision, which must be made on or before the December 31, 2020 expiry date of the Agreement, the Company would retain a 30% fully financed interest subject to certain payback provisions, a 2% royalty interest, and receive a US$1,000,000 advance royalty payment.
The Tres Cruces project is located about 10 km south of Barrick's Lagunas Norte gold deposit, where production started in June 2005. The close proximity of Barrick's Lagunas Norte Project creates potential operating synergies which could enhance the development opportunity for Tres Cruces.
New Oroperu has a National Instrument 43-101 entitled "Technical Report on the Tres Cruces Project, North Central Peru" dated September 28, 2012 by Peter A. Lacroix, P.Eng. of Lacroix and Associated, which updated mineral resource estimates for the Tres Cruces project based on all available information to that date. According to the report, the Tres Cruces mineral resource is estimated to contain 2.6 million ounces of gold at a 0.6 g/t Au cut-off in the measured and indicated category. The resources were estimated using data from 73,000 meters of drilling in 359 drill holes. A complete copy of the report is available at www.sedar.com or through the Company's website at www.oroperu.com.
Metallurgical testwork on Tres Cruces mineralization described in the Company's National Instrument 43-101 Technical Report by Peter A. Lacroix described above, indicates 82% gold recoveries in sulphidic mineralization using a CIL flotation process. There is a component of oxide mineralization in the Tres Cruces deposit and it was assumed in the report that it would be treated with the sulphides. The oxide mineralization could also be processed separately by heap leaching.
The Tres Cruces deposit has several mineralized zones which are not fully defined. The Southwest Extension zone and the Southwest zone display shallow better grade mineralization which also contain oxidized components in their upper part. There is also deep mineralization indicated in several holes. These deeper higher-grade targets have not been completely drill tested and some holes have bottomed in mineralization.
The Company looks forward to future developments on the Tres Cruces project with Barrick.
ON BEHALF OF THE BOARD OF DIRECTORS
"K. Wayne Livingstone"
K. Wayne Livingstone President
Notes: Forward looking statements: This news release includes certain "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements")." Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the expected. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
Neither the 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.
