Max Resource Executes Earn-In Agreement with Freeport-McMoRan Exploration Corporation for the Cesar Copper-Silver Project
Max Resource Executes Earn-In Agreement with
Freeport-McMoRan Exploration Corporation for the
Cesar Copper-Silver Project
Vancouver B.C., Ma y 13, 2024 – MAX RESOURCE CORP. (“Max” or the
“Company”) (TSX.V: MAX; OTC: MXROF; Frankfurt: M1D2) is pleased to
announce it has entered into an Earn-In Agreement (“EIA”) with Freeport-
McMoRan Exploration Corporation (“Freeport”), a wholly owned -affiliate of
Freeport-McMoRan Inc. (NYSE: FCX ) relating to Max’s wholly-owned Cesar
Copper-Silver Project (the “Cesar Project or “Cesar”) in Northwestern Colombia
(refer to Figure 1).
Under the terms of the EIA, Freeport has been granted a two -stage option to
acquire up to an 80% ownership interest in the Cesar Project by funding
cumulative expenditures of C$50 million and making cash payments to Max of
C$1.55 million.
To earn an initial 51% interest, Freeport is required to fund C$20 million of
exploration commitments at Cesar over five years and make staged payments to
Max totalling C$0.8 million. Max will remain the operator of Cesar during this
initial stage. Once Freeport earns its initial 51% interest, Freeport can increase
its interest to 80% by funding a further C$30 million in exploration commitments
at Cesar over five years and making staged payments totalling C$0.75 million.
“Careful consideration was given in selecting the best suited earn -in party for
Cesar, and access to Freeport’s global team and expertise is aimed at unlocking
Cesar’s potential. Freeport has a track record of global copper discoveries that
have proceeded to mine development and production. Max looks forward to
advancing our Cesar Project with Freeport, one of the world’s largest copper
producers,” commented Max CEO, Brett Matich
“The Cesar Project is host to one of the world’s largest underexplored sedimentary
copper-silver systems, and we believe Freeport’s endorsement of the Cesar
Project is a testament to its potential for hosting a world class deposit, ” he
concluded.
The transactions contemplated in the EIA remain subject to the approval of the
TSX Venture Exchange.
Figure 1: Location and Scale of the Cesar Copper-Silver Project, NE Colombia.
About the Cesar Copper Silver Project
The Cesar Project comprises three continuous districts spanning 120-km in an
NNE/SSW direction. This region provides access to major infrastructure resulting
from oil & gas and mining operations, including Cerrejón, the largest coal mine in
South America, held by global miner Glencore. Max’s twenty mining concessions
collectively span over 188-km².
The 2024 work program in the basin to date consists of stream sediment
sampling, soil sampling, rock sampling, surface mapping, extension of the ground
magnetics and an Induced Polarization (IP) program. This work program is
intended to identify and prioritize drill targets.
Max has completed a 10,000- line kilometre airborne magnetic and radiometric
survey covering 1,150 sq-km over all 3 Districts (AM, Conejo and URU). The data
is currently under review with the objective of advancing the Cesar basin model
and identifying priority targets.
AM District
Starting in the far north of the Jurassic basin, classic stacked red bed outcrops
with extensive lateral continuity have been rock sampled over 15-km of strike.
Highlight values of 34.4% copper and 305 g/t silver have been documented in
the sedimentary red bed sequences. The Company confirmed that stratiform
mineralization continues at depth with two scout drill holes completed in 2023
(Max News Release dated April 4, 2023 ). In addition, Colombian field crews
continue to discover and sample new mineralized outcrops identified AM -1
through AM 14 target s (Max News Release dated May 25, 2023 ,and Max News
Release dated June 22, 2023)
Conejo District
Located approximately 30-km south from the AM District. It is characterized by
structurally controlled mineralization, hosted in intermediate and felsic volcanic
rocks. Mineralized outcrops have been discovered over 3.7- km at the primary
target area. Surface samples averaged 4.9% copper ( with a 2% cut-off). No
drilling has been conducted to date.
URU District
Located approximately 60-km south from the AM District. Max has identified 12
targets URU-1 through to URU-12. The mineralization of the URU District is hosted
in intermediate volcanic rocks and is structurally controlled. At URU-C, a 9.0m of
7.0% copper and 115 g/t silver surface discovery was confirmed at depth by drill
hole URU-12, which intersected 10.6m of 3.4% copper and 48 g/t silver. At the
URU-CE target, 750m to the east, 19.0m of 1.3% copper discovered in outcrop
was confirmed by drill hole URU-9, which intersected a broad zone of copper oxide
returning 33.0m of 0.3% copper from 4.0m, including 16.5m of 0.5% copper
(Max News Release date January 24, 2023).
Qualified Person
The Company's disclosure of a technical or scientific nature in this news release
was reviewed and approved by Tim Henneberry, P .Geo. (British Columbia), a
member of Max ’s advisory board, who serves as a qualified person under the
definition of National Instrument 43-101.
About Max Resource Corp.
Max Resource Corp. (TSXV: MAX) is a mineral exploration company advancing
the newly discovered , district- scale, Cesar copper-silver project. The wholly
owned C esar project sits along the northern portion of the Andean Belt, the
world’s largest producing copper belt.
Max is proactive, with the corporate goal of transitioning the Cesar basin towards
the mining of copper and silver, the key metal for Colombia’s transition to clean
energy. The safety of our people and the communities where we operate is most
important. We conduct exploration in a manner which supports protection of
ecosystems through responsible environmental stewardship.
For more information visit: https://www.maxresource.com/
For additional information contact:
Tim McNulty E: [email protected] T: (604) 290-8100
Rahim Lakha E. [email protected]
Brett Matich T: (604) 484 1230
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of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Except for statements of historic fact, this news release contains certain "forward -looking information"
within the meaning of applicable securities law.
Forward-looking information is frequently characterized by words such as "plan", "expect", "project",
"intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events
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at the date the statements are made and are subject to a variety of risks and uncertainties and other
factors that could cause actual events or results to differ materially from those anticipated in th e
forward-looking statements including, but not limited to delays or uncertainties with regulatory
approvals, including that of the TSXV. There are uncertainties inherent in forward -looking information,
including factors beyond the Company’s control. There are no assurances that the commercialization
plans for Max Resources Corp. described in this news release will come into effect on the terms or time
frame described herein.
The Company undertakes no obligation to update forward- looking information if circumstances or
management's estimates or opinions should change except as required by law. The reader is cautioned
not to place undue reliance on forward-looking statements. Additional information identifying risks and
uncertainties that could affect financial results is contained in the Company’s filings with Canadian
securities regulators, which filings are available at www.sedarplus.ca.