Business
Minera Alamos Announces Transaction to Accelerate Development of Guadalupe De Los Reyes Gold Project
Toronto, Ontario and Vancouver, British Columbia--(Newsfile Corp. - April 24, 2019) - Minera ...
About this update from Minera Alamos Inc.
[{"type":"text","content":"Minera Alamos Announces Transaction to Accelerate Development of Guadalupe De Los Reyes Gold ProjectToronto, Ontario and Vancouver, British Columbia--(Newsfile Corp. - April 24, 2019) - Minera Alamos Inc. (TSXV: MAI) (\"Minera Alamos\" or the \"Company\") is pleased to announce that it has entered into a binding letter agreement with ePower Metals Inc. (\"ePower\") dated April 22nd, 2019 (the \"LOI\") that outlines the terms and conditions upon which Minera Alamos will assign its option rights to acquire the Guadalupe de los Reyes gold property (\"Los Reyes\") in exchange for approximately 19.8% of the outstanding ePower common shares (the \"ePower Shares\") and certain other rights related to the development of Los Reyes (the \"Transaction\"). Minera Alamos currently has the right to acquire a 100% interest in Los Reyes pursuant to an option agreement entered into with Vista Gold Corp. (\"Vista\").\"This agreement supports the Company's business strategy of building a mid-tier gold producer through the development of a pipeline of late stage and low capex assets that can be advanced quickly into production and expanded out of free cash flow. Following recent exploration and permitting successes at Santana and La Fortuna (both 100% owned), the new arrangement allows our technical team to focus in the coming year on accelerating the next phases of exploration at Santana in addition to the final activities necessary for the construction of a low capex heap leach gold operation, while concurrently advancing plans for a second high margin open pit milling operation at La Fortuna,\" stated Darren Koningen, CEO of Minera Alamos. \"Los Reyes was identified as a third potential operation in our evolving development plans for the Company and the Transaction with ePower is an excellent opportunity to ensure that additional value is unlocked for the Company's shareholders in a more timely and efficient manner. We continue to evaluate further opportunities to expand our interests in the immediate vicinity of our highly prospective Santana and La Fortuna projects as we approach construction decisions at both sites.\"The Company looks forward to supporting ePower's activities at Los Reyes through active participation at the Board level as well as providing access to the Company's operating and development technical teams. Terms of the Transac...