Business
Oremex Negotiates Long-term Lease for Surface Use at San Lucas Property
Oremex Negotiates Long-term Lease for Surface Use at San Lucas Property.
About this update from Monarca Minerals Inc.
[{"type":"text","content":"\n\n\n\nVANCOUVER, April 2 /CNW/ - Oremex Resources Inc. (TSX-V: ORM) (the\n"Company") announced that it has negotiated a long-term lease for use of\nsurface rights at its San Lucas Property ("San Lucas") with the Ejido\n(governing authority for the village and surrounding lands). The lease\nprovides surface rights to 50 hectares of Ejido land for the purposes of\nexploration, development and mining for a 30-year term. The terms of the lease\nprovide for annual payments of approximately US$2,000 (MP$20,000) and other\ncommunity improvements.\n\n\n"We are pleased to have negotiated this working arrangement for access to\nsurface rights with the Ejido of San Lucas," said Linda Thorstad, CEO of the\nCompany. "Our agreement provides significant long-term benefits for both the\nCompany and the Ejido."\n\n\nThe Company is currently conducting a 5,000-metre drill program at\nSan Lucas, testing extensions down dip and along trend of mineralization. A\n3,000-metre drill program completed in 2005 outlined gold-silver-lead-zinc\nmineralization over a strike length of 2 kilometres with widths up to\n70 metres in a trend mapped for over 4 kilometres.\n\n\nThe Company is also continuing discussions with the local Ejido at the\nTejamen Silver Property ("Tejamen") while pursuing access to surface rights\nthrough applicable federal laws. Tejamen, an open-pit, heap-leach project, has\nan estimated net present value of US$97.4 million at US$12 per ounce silver\nand US$155 million at US$15 per ounce silver (at a 7% discount) according to\nan independent Preliminary Assessment Study prepared by Snowden Mining\nIndustry Consultants (NI 43-101 compliant, as reported in the October 3, 2006\nnews release). Projected production is approximately 4.5 million ounces of\nsilver per annum with direct cash operating costs of US$4.50 per ounce of\nsilver from a current resource of 50.8 million ounces.\n\n\nThe TSX Venture Exchange has not reviewed and does not accept\n\n\nresponsibility for the adequacy and accuracy of this release.\n\n\nNational Instrument 43-101 requires the following statement: that the\npreliminary assessment is preliminary in nature, that it includes inferred\nmineral resources that are considered too speculative geologically to have the\neconomic considerations applied to them that would e...