Avrupa Minerals Agrees to Colt’s Acquisition of Alvalade from Antofagasta

Avrupa Minerals (TSXV:AVU) announced today that is has approved Colt Resources purchase of a 60% interest in their Alvalade property, located in southern Portugal, from Antofagasta Minerals.
As quoted in the press release:

Avrupa Minerals Ltd. has signed an agreement with Colt Resources Inc. and Antofagasta Minerals SA (a wholly owned subsidiary of Antofagasta PLC), whereby Colt will purchase Antofagasta’s 60-per-cent interest in Avrupa’s Alvalade VMS (volcanogenic massive sulphide) property in the Iberian pyrite belt of southern Portugal.
During Antofagasta’s earn-in to the Alvalade Project, they spent close to US$ 6.5 million on exploration, including five phases of drilling operated by Avrupa, totaling 44 holes and 17,633 meters. The drilling was highly successful, encountering copper-zinc mineralization in a number of localities around the license, with the most important being the Sesmarias massive sulfide discovery, announced in an Avrupa news release on February 27, 2014. To date, drilling has intercepted copper-zinc-lead mineralization at Sesmarias at numerous locations over a length of 1.8 kilometers, to a depth of 300 meters. Sesmarias is located approximately 25 kilometers NW of the Aljustrel Mine, operated by a Portuguese mining company, and approximately 60 kilometers NW of Lundin Mining’s Neves Corvo Mine. A summary of the previously announced results at Sesmarias is presented below:

• — SES002 – 10.85 meters @ 1.81% Cu; 75.27 ppm Ag; 2.57% Pb; 4.38% Zn; 0.13% Sn
• — SES006 – 1.5 meters @ 1.66% Cu; 54 ppm Ag; 2.30% Pb; 3.66% Zn; 0.091% Sn — mineralization cut off by faulting
• — SES008 – 5.0 meters @ 0.64% Cu; 36.8 ppm Ag; 0.94% Pb; 1.54% Zn – mineralization cut off by faulting
• — SES009 – 2.3 meters of massive pyrite (not analyzed)
• — SES010 – 57.85 meters @ 0.45 g/t Au; 25.1 g/t Ag; 0.32% Cu; 0.61% Pb; 1.95% Zn

Terms of the new Colt transaction:
Colt will pay Antofagasta a total of up to US$ 7.1 million in increments, some over specified time periods, and certain other payments based on completion of a resource estimate, a feasibility study, and then upon commercial production. Colt has also granted a 1% NSR to Antofagasta on all production coming from the Alvalade Project.
With the assignment agreement, Colt is now the Optionee partner with Avrupa under the existing earn-in agreement which was last amended in December, 2014. The agreement gives a clear, staged path for Colt to earn up to 80% of the Alvalade Project through a combination of exploration expenditures, completion of a feasibility study, and generation of a mine development decision by the end of the year 2023.

Avrupa Minerals President and CEO, Paul Kuhn, stated:

We are excited to have Colt as our new Partner on our Alvalade project. They are well funded and familiar with the exploration potential in Portugal. The Alvalade Project already hosts one new massive sulfide discovery at Sesmarias, and we are excited to be drilling there again to delineate a potential copper-zinc deposit. We are planning, in collaboration with our new partner, up to 5,000 meters of drilling in the Sesmarias target area to be completed before the end of the year.

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