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Andean Precious Metals Signs Five-Year Exclusive Agreement to Purchase up to 800,000 Tonnes of Oxide Material from the Paca Silver Project in Bolivia
(All amounts are in U.S. dollars unless otherwise stated) Toronto, Ontario--(Newsfile Corp. - S...
About this update from Andean Precious Metals Corp
[{"type":"text","content":"Andean Precious Metals Signs Five-Year Exclusive Agreement to Purchase up to 800,000 Tonnes of Oxide Material from the Paca Silver Project in Bolivia(All amounts are in U.S. dollars unless otherwise stated)Toronto, Ontario--(Newsfile Corp. - September 12, 2023) - Andean Precious Metals Corp. (TSXV: APM) (OTCQX: ANPMF) (\"Andean\" or the \"Company\")and its wholly-owned subsidiary, Empresa Minera Manquiri S.A. (\"Manquiri\" and together with Andean, the \"Andean Entities\") have entered into a Sale and Purchase Agreement (\"SPA\") and Master Services Agreement (the \"MSA\" and together, the \"Agreements\") with Silver Elephant Mining Corp. (\"Silver Elephant \") (TSX:ELEF, OTCQX:SILEF, Frankfurt:1P2N) and several of its subsidiaries, including Apogee Minerals Bolivia S.A. (together with Silver Elephant, the \"Silver Elephant Entities\").Transaction HighlightsPursuant to the MSA, Silver Elephant will provide its expertise in mining operations, community relations, logistics and access to all its technical and geological information for the Paca silver project (\"Paca\"), located less than 200 km from Manquiri's San Bartolomé mine.Under the SPA, Manquiri has an exclusive agreement to purchase up to 800,000 tonnes of oxide material from Paca. The SPA will expire on the earlier of (i) January 31, 2029, or (ii) when a total of 800,000 tonnes of oxide material have been delivered to Manquiri's facility (the \"Term\").Total cash consideration consists of $5 million plus up to $2 million relating to a silver price-linked contingency. Additionally, the Andean Entitles will reimburse the Silver Elephant Entities for certain operating expenses.Paca historical oxide mineral resources estimate as defined by Mercator Geological Services is 1.1M tonnes of indicated mineral resources grading 185 grams per tonne (g/t) Ag and 0.35M tonnes of inferred grading 131 g/t Ag1.SRK Consulting (USA), Inc. has been engaged to perform an independent evaluation and mineral resource estimate of Paca.Easily accessible by paved road, Paca is an undeveloped, epithermal silver and base metal deposit in Bolivia, located less than 18 km northeast of the city of Uyuni and less than 200 km southwest of Andean's San Bartolomé mine and processing facilities near Potosí. \"We are pleased to announce this important milestone in the execution of our organic ...