Panoro Minerals Receives $C898,000 in Payments
Panoro Minerals Receives $C898,000 in
Payments
VANCOUVER, BC
,
Aug. 8, 2023
/CNW/ -
Panoro Minerals Ltd.
(TSXV: PML), (Lima: PML),
(Frankfurt: PZM), (OTCQB: POROF) ("Panoro" or the "Company") announces that it has received a
total of
$C898,000
in payments from the sale of the Antilla and Cochasayhuas Projects in
Peru
.
The Company announced the closing of the sale of the Antilla Project in December 2021. The
Company has finalized amendments to the share purchase agreement ("SPA") and shareholders'
agreement ("SHA") (the "Amended Agreements") with Calisto Cobre Resources Corp. (formerly
Heeney Capital Acquisition Corp.) ("Calisto") in which the Company sold 90% of the shares of
Antilla
Copper S.A
., a former wholly owned subsidiary of Panoro, to Calisto. As outlined in the Company's
October 12, 2021
and
December 6, 2021
press releases and as per the SPA and SHA, the
Company received a first payment of
$US 7.3M
($CA
10.0M
) on closing, the timeline for receipt of
the next payment,
$US 2.1M
($CA
2.8M
) (the "Second Payment"), has been extended to
March
2024
. Pursuant to the Amended Agreements, the Company received an immediate payment of $CA
300,000
($US 226,380)
made towards the Second Payment. The balance of the Second Payment of
approximately $CA
2.50M
(
$US 1.85M
) will be due upon the completion of the public listing of
Calisto or
March 31, 2024
at the latest.
Panoro also announces that it has completed the sale of the of Cochasayhuas project for $CA
598,000
($US 460,000)
to a private Peruvian mining company. The transaction, transfer and
registration of mineral concession ownership has been completed.
In addition, the Company anticipates receiving $CA 325,000
($US 250,000)
in
September 2023
as
part of the Company's Precious Metals Agreement with Wheaton Precious Metals International Ltd.
("WPMI"), a wholly owned subsidiary of Wheaton Precious Metals Corp., in respect of the
Cotabambas Project as described the Company's
April 3, 2023
press release.
Luquman Shaheen, CEO of Panoro Minerals states, "We remain committed to our plan of focusing
the Company's resources on the advancement of the Cotabambas project towards feasibility while
minimizing any share capital dilution. We estimate that the completed transactions, including the
payments announced herein, will provide $CA 10.7 million during the next 24 months. The drilling
program at Cotabambas was completed in July, the Company is currently working with the
independent consultants to complete the NI 43-101 mineral resources estimate which is scheduled
for completion next month. The company has also completed extensive trade-off studies for the
mining, processing, waste/tailings and infrastructure proposed for the project. The trade-off studies
have identified important opportunities to enhance the project's economics while reducing the
environmental footprint. The Company is planning to integrate the updated minerals resources
estimate and the trade-off studies recommendations into an updated Preliminary Economic
Assessment later this year to provide guidance on the scope and focus of the Prefeasibility study."
About Panoro
Panoro is a uniquely positioned
Peru
-focused copper development company. The Company is
advancing its flagship Cotabambas Copper-Gold-Silver Project located in the strategically important
area of southern
Peru
.
The Company's objective is to complete a Prefeasibility study in 2023 with work programs
commencing in Q1 2022.
At the Cotabambas Project, the Company will first focus on delineating resource growth potential
and optimizing metallurgical recoveries. These objectives are expected to further enhance the
project economics as part of the Prefeasibility studies during 2022 and 2023. Exploration and step-
out drilling from 2017, 2018 and 2019 have already identified the potential for both oxide and
sulphide resource growth.
Summary of Cotabambas Project Resources
Project
Resource
Classification
Million
Tonnes
Cu (%)
Au (g/t)
Ag (g/t)
Mo (%)
CuEq %
Cotabambas
(1)
Cu/Au/Ag
Indicated
117.1
0.42
0.23
2.74
0.001
0.59
Inferred
605.3
0.31
0.17
2.33
0.002
0.44
@ 0.20% CuEq cutoff, effective October 2013, Tetratech
(1)
Cotabambas Project, Apurimac, Peru, NI 43-101 Technical Report on Updated Preliminary Economic Assessment, amec foster wheeler and Moose Mountain Technical
Services, 22 September 2015
A PEA has been completed for the Cotabambas Project; the key results are summarized below:
Summary of Cotabambas Project PEA Results
Key Project Parameters
Cotabambas Cu/Au/Ag Project
(1)
Process Feed, life of mine
million tonnes
483.1
Process Feed, daily
tonnes
80,000
Strip Ratio, life of mine
1.25 : 1
Before Tax
(1)
NPV
7.5%
million US$
1,053
IRR
%
20.4
Payback
years
3.2
After
Tax
(1)
NPV
7.5%
million US$
684
IRR
%
16.7
Payback
years
3.6
Annual Average
Payable
Metals
Cu
thousand tonnes
70.5
Au
thousand ounces
95.1
Ag
thousand ounces
1,018.4
Mo
thousand tonnes
-
Initial Capital Cost
million US$
1,530
(1)
Project economics estimated at commodity prices of; Cu = US$ 3.00/lb, Au = US$ 1,250/oz, Ag = US$ 18.50/oz, Mo = US$ 12/lb
PEAs are considered preliminary in nature and include Inferred Mineral Resources that are
considered too speculative to have the economic considerations applied that would enable
classification as Mineral Reserves. There is no certainty that the conclusions within the PEAs will be
realized. Mineral Resources are not Mineral Reserves and do not have demonstrated economic
viability.
Luis Vela
, a Qualified Person under National Instrument 43-101, has reviewed and approved the
scientific and technical information in this press release.
On behalf of the Board of
Panoro Minerals Ltd.
Luquman Shaheen. M.B.A., P. Eng, P.E.
President & CEO
CAUTION REGARDING FORWARD LOOKING STATEMENTS
: Information and statements
contained in this news release that are not historical facts are "forward-looking information" within
the meaning of applicable Canadian securities legislation and involve risks and uncertainties.
Examples of forward-looking information and statements contained in this news release include
information and statements with respect to:
Panoro delineating growth potential at the Cotabambas Project, while optimizing project
economics.
mineral resource estimates and assumptions; and
the PEAs, including, but not limited to, base case parameters and assumptions, forecasts of net
present value, internal rate of return and payback.
Various assumptions or factors are typically applied in drawing conclusions or making the forecasts
or projections set out in forward-looking information. In some instances, material assumptions and
factors are presented or discussed in this news release in connection with the statements or
disclosure containing the forward-looking information and statements. You are cautioned that the
following list of material factors and assumptions is not exhaustive. The factors and assumptions
include, but are not limited to, assumptions concerning: metal prices and by-product credits; cut-off
grades; short and long term power prices; processing recovery rates; mine plans and production
scheduling; process and infrastructure design and implementation; accuracy of the estimation of
operating and capital costs; applicable tax and royalty rates; open-pit design; accuracy of mineral
reserve and resource estimates and reserve and resource modeling; reliability of sampling and
assay data; representativeness of mineralization; accuracy of metallurgical test work; and
amenability of upgrading and blending mineralization.
Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and
other factors which could cause actual events or results to differ materially from those expressed or
implied by the forward-looking statements, including, without limitation:
risks relating to metal price fluctuations;
risks relating to estimates of mineral resources, production, capital and operating costs,
decommissioning, or reclamation expenses, proving to be inaccurate;
the inherent operational risks associated with mining and mineral exploration, development, mine
construction and operating activities, many of which are beyond Panoro's control;
risks relating to Panoro's or its partners' ability to enforce legal rights under permits or licenses
or risk that Panoro or its partners will become subject to litigation or arbitration that has an
adverse outcome
risks relating to Panoro's or its partners' projects being in
Peru
, including political, economic,
and regulatory instability;
risks relating to the uncertainty of applications to obtain, extend or renew licenses and permits;
risks relating to potential challenges to Panoro's or its partners' right to explore or develop
projects;
risks relating to mineral resource estimates being based on interpretations and assumptions
which may result in less mineral production under actual circumstances;
risks relating to Panoro's or its partners' operations being subject to environmental and
remediation requirements, which may increase the cost of doing business and restrict
operations;
risks relating to being adversely affected by environmental, safety and regulatory risks, including
increased regulatory burdens or delays and changes of law;
risks relating to inadequate insurance or inability to obtain insurance;
risks relating to the fact that Panoro's and its partners' properties are not yet in commercial
production; • risks relating to fluctuations in foreign currency exchange rates, interest rates and
tax rates;
risks relating to Panoro's ability to raise funding to continue its exploration, development, and
mining activities; and
counterparty risk under Panoro's agreements.
This list is not exhaustive of the factors that may affect the forward-looking information and
statements contained in this news release. Should one or more of these risks and uncertainties
materialize, or should underlying assumptions prove incorrect, actual results may vary materially
from those described in the forward-looking information. The forward-looking information contained
in this news release is based on beliefs, expectations, and opinions as of the date of this news
release. For the reasons set forth above, readers are cautioned not to place undue reliance on
forward-looking information. Panoro does not undertake to update any forward-looking information
and statements included herein, except in accordance with applicable securities laws.
Neither the 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.
SOURCE
Panoro Minerals Ltd.
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For further information:
Panoro Minerals Ltd.: Luquman Shaheen, President & CEO, Phone:
604.684.4246, Fax: 604.684.4200, Email: [email protected], Web: www.panoro.com ; Renmark
Financial Communications Inc.: James McFarland, Account Manager, Phone: 416.644.2020, Email:
[email protected], Web: www.renmarkfinancial.com
CO: Panoro Minerals Ltd.
CNW 09:20e 08-AUG-23