Montero Acquires 80-percent Stake in Moyale Graphite Project

Montero Mining and Exploration Ltd. (TSXV:MON) announced that it has entered into a binding agreement with Ethiopia’s Hulager General Import and Export plc. Under the agreement Montero will acquire up to an 80-percent interest in the Moyale graphite project.

As quoted in the press release:

The agreement provides Montero six months to complete legal and technical due diligence to its satisfaction and is also subject to regulatory approval.

Under the terms of the binding agreement, Montero immediately earns a 51% interest in the Property by committing to define and complete a report prepared in compliance with NI 43-101 within 2 years with a minimum expenditure requirement of US$ 1.5 million. Montero may earn a further 29% interest by completing a Feasibility study within 3 years to a maximum expenditure of US$ 10 million.

Dr. Tony Harwood, president and CEO of Montero, commented:

The Moyale Graphite Project has seen limited mapping, sampling and trenching in addition to limited geophysical surveys with no drilling conducted to date. Montero intends to define a high quality large flake graphite resource in compliance with NI 43-101 whereby a long life mine plan is outlined. The graphite market is currently one of the most promising and forward looking sectors in the high technology mining industry. We look forward to working with our partner in developing the Project.

Click here to read the full Montero Mining and Exploration Ltd. (TSXV:MON) press release.