Mundoro Options to BHP Exploration Properties in Timok, Serbia
Mundoro Options to BHP Exploration
Properties in Timok, Serbia
Vancouver, British Columbia--(Newsfile Corp. - January 23, 2023) -
Mundoro Capital Inc. (TSXV:
MUN) (
www.mundoro.com
)
("
Mundoro
" or the "
Company
"), announces it has entered into a
definitive agreement with a wholly owned subsidiary of BHP Group Limited ("
BHP
"), which provides
BHP with the right to earn-in to three (each, an "
Option
") exploration areas that Mundoro holds in the
Timok region ("
Timok Properties
").
Ms. Teo Dechev, Chief Executive Officer, President and Director of Mundoro commented, "
Mundoro
welcomes BHP as an exploration partner that recognizes the potential of further exploration in the
western Tethyan Belt.
We are looking forward to commencing field exploration at the Timok Properties
in order to advance targeting and testing of undercover, and near surface, porphyry and related
epithermal systems in the Timok region of eastern Serbia."
Ms. Dechev added, "Mundoro has established a decade-long history of generative and early-stage
exploration in Serbia and Bulgaria.
Partner funded exploration programs along with Mundoro's
generative programs have invested over C$30 million of exploration expenditures which bring value
to stakeholders in the communities where we operate, to our partners, and to our shareholders."
Regional Setting
The porphyry copper projects under the Options with BHP are located in and around the Timok
Magmatic Complex in Serbia. The Timok region is known as a mining district with more than 100 years
of mining comprising approximately 4 billion tons in porphyry systems over 5 known mines. The Timok
Magmatic Complex is host to the largest copper-gold porphyry deposits in the western portion of the
Tethyan Belt such as (i) Cukaru-Peki, a high sulphidation epithermal copper-gold and porphyry copper
deposit, (ii) Bor underground mine which is a copper-gold porphyry ("Bor Mining Complex"), (iii - iv)
Veliki Krivelj and Majdanpek open-pit mines which are both copper-gold porphyries and (v) the recently
re-opened Cerovo porphyry copper -gold open-pit mine (see
Figure 1
).
Dr. Richard Jemeilita, Chief Geologist at Mundoro commented: "
The Timok Properties represent a
district scale, attractive exploration package in this prospective mineral belt in Serbia.
Our exploration
team in the region has identified, in the South Timok Properties exploration area, extending south
from the Timok Magmatic Complex, continuation of fertile geological units for further copper
exploration.
We are encouraged by the initial reconnaissance sampling which has identified
anomalous copper zones."
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Figure 1
- Location Map for Timok Region, Serbia
To view an enhanced version of Figure 1, please visit:
https://images.newsfilecorp.com/files/2408/152060_caef5c79b404a95d_001full.jpg
Property Information
Borsko
The Borsko Jezero Project ("
Borsko
") is located in the central portion of the Timok Magmatic Complex
and aggregates an exploration area of 34.5 sqkm. The project is directly adjacent to and west of the
producing Bor copper porphyry mine (see
Figure 1
). Exploration completed to date by Mundoro has
identified several targets of which, Target 1 is an undercover preserved advanced argillic alteration
lithocap covering an area approximately 1.6 km in strike length, discovered using a combination of
geophysical techniques. The Target 1 system contains elevated copper-gold-arsenic geochemical
results indicative of high sulphidation epithermal type mineralization with elevated copper at the bottom
of the lithocap suggesting a porphyry source beyond the immediate drill tested area.
South Timok
An area that aggregates 213 sqkm, located at the southern end of the Timok Magmatic Complex and
approximately 60 km south-southeast of Bor mining district in Central Timok.
The northern parts of
exploration ground is covered by Paleogene sediments interlayered with Paleogene pyroclastics, while
the central area consists of Upper Cretaceous sediments and volcanics. To the east the area is almost
entirely covered by Upper Cretaceous volcanics from the Timok Magmatic Complex. Hornblende
andesite that intrudes the Upper Cretaceous sediments from both licenses are considered to have the
potential for copper-gold porphyry and epithermal related systems. Several small-scale coal mines and
old workings have been exploited by the state during the 1950's in this area.
The southern portion of the exploration area comprises Cretaceous volcano-sedimentary lithologies
intruded by late Cretaceous latite intrusions and partly overlain by Paleogene sediments. The volcanic-
intrusive lithologies form part of the northwest-southeast L-shape-striking Cretaceous magmatic arc of
Eastern Serbia. Mundoro started a stream sediment program over the favorable geological setting in the
southern portion of the exploration area that yielded several drainage areas anomalous for gold, copper,
lead and zinc within two outlined targets internally named Ponor North and Ponor South, respectively.
Trstenik
This exploration area covers an aggregate of 55 sqkm and lies within the northern portion of the Timok
Magmatic Complex directly north of Majdanpek Mine Complex. To date, the systematic exploration work
carried out by Mundoro in the exploration area has identified several target areas. Two of the targets at
the southern end of the exploration area have similarities with the Majdanpek deposit in that the targets
share similar geology, structural settings, and mineralisation - porphyry and skarn/massive sulphide
replacement type and occur along strike of the main Timok trend.
Transaction Overview
Each of the three Options provides BHP with the right to earn a 100% interest in the relevant Timok
Property by making (i) annual cash payments and operator payments ("Payments") to Mundoro, with the
aggregate amount of Payments for the three properties over three years amounting to approximately
US$1,700,020, and (ii) incurring exploration expenditures within three years on the three properties
amounting to US$7,500,000. The earn-in also includes an exploration expenditure commitment related
to drilling by March 2023. BHP may exercise each Option independently or elect to extend each Option
by one year by making additional Payments and incurring additional exploration expenditures.
Upon
exercise of each Option, Mundoro will retain a 2% net smelter return ("NSR") royalty that includes
development milestone payments for a total up to US$9,000,000 and annual cash payments until
commercial production commences. Mundoro is appointed as the initial operator under the Options.
Qualified Person
The scientific and technical information in this news release was prepared under the supervision of, and
approved
by, T. Dechev, a Qualified Person as defined by NI 43-101, and the Company's Chief
Executive Officer and R. Jemielita, PhD, MIMMM, a Qualified Person as defined by NI 43-101 and Chief
Geologist to the Company.
About Mundoro Capital Inc.
Mundoro is a publicly listed company on the TSX-V in Canada and OTCQB in the USA with a portfolio of
mineral properties focused primarily on base and precious metals.
To drive value for shareholders,
Mundoro's asset portfolio generates near-term cash payments to Mundoro from partners and creates
royalties attached to each mineral property.
The portfolio of mineral properties is currently focused on
predominantly copper in two mineral districts: Western Tethyan Belt in Eastern Europe and the Laramide
Belt in the southwest USA.
Caution Concerning Forward-Looking Statements
This News Release contains forward-looking statements. Forward-looking statements can be identified
by the use of forward-looking words such as "will", "expect", "intend", "plan", "estimate", "anticipate",
"believe" or "continue" or similar words or the negative thereof, and include the following: completion of
earn-in expenditures, options and completion of a definitive agreement by the parties. The material
assumptions that were applied in making the forward looking statements in this News Release include
expectations as to the mineral potential of the Company's projects, the Company's future strategy and
business plan and execution of the Company's existing plans. We caution readers of this News Release
not to place undue reliance on forward looking statements contained in this News Release, as there can
be no assurance that they will occur and they are subject to a number of uncertainties and other factors
that could cause actual results to differ materially from those expressed or implied by such forward-
looking statements. These factors include general economic and market conditions, exploration results,
commodity prices, changes in law, regulatory processes, the status of Mundoro's assets and financial
condition, actions of competitors and the ability to implement business strategies and pursue business
opportunities. The forward-looking statements contained in this News Release are expressly qualified in
their entirety by this cautionary statement. The forward-looking statements included in this News Release
are made as of the date of this News Release and the Board undertakes no obligation to publicly update
such forward-looking statements, except as required by law. Shareholders are cautioned that all forward-
looking statements involve risks and uncertainties and for a more detailed discussion of such risks and
other factors that could cause actual results to differ materially from those expressed or implied by such
forward-looking statements, refer to the Company's filings with the Canadian securities regulators
available on
www.sedar.com
.
Neither 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.
For further information, please visit Mundoro Capital website
www.mundoro.com
Teo Dechev, Chief Executive Officer, President and Director
+1-604-669-8055
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/152060