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Megastar to Acquire 100% of Two Additional Epithermal Au-Ag Projects in Oaxaca, Mexico
Vancouver, British Columbia--(Newsfile Corp. - June 4, 2018) - Megastar Development Corp. (" ...
About this update from Madoro Metals Corp
[{"type":"text","content":"Megastar to Acquire 100% of Two Additional Epithermal Au-Ag Projects in Oaxaca, MexicoVancouver, British Columbia--(Newsfile Corp. - June 4, 2018) - Megastar Development Corp. (\"Megastar\", the \"Company\" or \"MDV\") (TSX-V: MDV; Frankfurt: M5QN) is pleased to announce that further to signing a Definitive Option Agreement to acquire 100% undivided interest in the Rama de Oro project, located in the state of Oaxaca, Mexico (see press release dated May 10, 2018), the Company also signed two (2) additional option agreements with the same groups (Paradex and Minera Zalamera) pursuant to which Minera Zalamera has granted the Company the sole and exclusive option to acquire all of its rights, titles and interest in the Yautepec concession (the \"Yautepec Option\") and the Magdalena Concession (the \"Magdalena Option\"), both located in the state of Oaxaca, Mexico.\"This deal continues us on our path towards establishing a strong presence in the Oaxaca region of Mexico,\" said Dusan Berka, CEO of Megastar Development. \"Coupled with our earlier announced deal, Megastar has put together a strong portfolio of prospective exploration assets situated in between two currently producing mines. As well, working with David Jones, a geologist with a long history of success in Mexico, gives us a strong technical base upon which to commence our activities down there.\" Yautepec OptionUnder the Yautepec Option, in order to acquire a 100% interest in the project, the Company shall: Pay to Minera Zalamera USD $5,000 (within 15 days following the execution of the option agreement but subject to Exchange approval);Issue to Minera Zalamera a total of 1,550,000 Common Shares (200,000 within 15 days following the execution of the option agreement but subject to Exchange approval, 450,000 on the 1st anniversary, and 900,000 on the second anniversary); and Incur work expenditures totalling USD $310,000 (USD $40,000 after Year 1, another USD $ 80,000 by Year 2 and USD $190,000 by Year 3 of the signing of the option agreement).The Yautepec Project comprises 4,861 hectares of Tertiary volcanic rocks highly prospective for hosting epithermal precious metal mineralization similar to that in the nearby producing Arista and Switchback mines at Gold Resources El Aguila project (20 km to the WNW) and Cheaspeake Gold's La Gitana project (8 km to the east-sout...