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Prospero Silver Corp. (TSXV:PSL) announced the signing of a non-binding letter of intent for an option to joint venture agreement covering its San Luis del Cordero property with Silver Standard Resourced Inc. (TSX:SSO)
Prospero Silver Corp. (TSXV:PSL) announced the signing of a non-binding letter of intent for an option to joint venture agreement covering its San Luis del Cordero property with Silver Standard Resourced Inc. (TSX:SSO)
As quoted in the press release:
Under the terms of the Letter of Intent, Silver Standard has the option to earn a 51% interest within 3 years by incurring total property expenditures of US$3.5M, including a minimum of 4,000 meters of drilling in Year 1, and total cash payments of US$1.5M. Upon Silver Standard earning a 51% interest, the initial joint venture program shall have a minimum program cost of US$4M and require, within 36 months, the preparation of a pre-feasibility level study on the property. The Letter of Intent also contains provisions relating to additional joint venture exploration and development programs, including the dilution of a joint venture partner’s participating interest if such partner does not fund its portion of a program.
Tawn Albinson, President of Prospero, commented:
Drill programs Prospero conducted in 2010 and 2011 encountered high-grade silver, copper and zinc mineralization at multiple targets within the core of the San Luis del Cordero district. Silver Standard’s involvement brings financial capacity and expertise that will enable San Luis del Cordero to move forward quickly.
Click here to read the full press release.
