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Tarachi Enters Into LOI for Transformative Acquisition of the High-Grade Magistral Del Oro Tailings Project
VANCOUVER, BC, Oct. 15, 2020 /CNW/ - Tarachi Gold Corp. (CSE: TRG) ("Tarachi" or the "Company") Tarachi is pleased to announce that the Company has entered into
About this update from Tarachi Gold Corp.
[{"type":"text","content":" VANCOUVER, BC, Oct. 15, 2020 /CNW/ - Tarachi Gold Corp. (CSE: TRG) (\"Tarachi\" or the \"Company\") Tarachi is pleased to announce that the Company has entered into a non-binding letter of intent (the \"LOI\") dated October 9 2020 with Manto Resources S.A. de C.V. (\"Manto\") pursuant to which the Company may acquire (the \"Acquisition\") certain assets related to the Magistral del Oro tailing processing plant (the \"MDO Plant\") in Durango, Mexico. The Acquisition is intended to allow Tarachi to potentially enter near term production and generate free cash flow. Tarachi President and CEO, Lorne Warner stated \"This potential acquisition offers Tarachi an opportunity to crystalize the value that these high gold prices offer. The Company will now have both high-grade gold exploration projects in the Mulatos gold belt of Sonora as well as potential cash flowing tailings operation in Durango. We are fully funded to execute this acquisition and progress this asset into production. To assist with this process, the Company has retained Ausenco Engineering to complete an NI-43-101 compliant Preliminary Economic Assessment (PEA) report and to act as a consultant to the Company in relation to the project.\" Details on the MDO Plant The MDO Plant is a permitted 1,000 TPD tailings processing operation Covering 600 hectares, the MDO Plant encompasses the Magistral mill tailing deposit, processing plant, and a tailing disposal facility Historical tailings resources estimates by: Corporation Ambiental de Mexico S.A. de C.V. (CAM) in 2011 1.29 million tonnes grading 2.06 g/tonne gold Unpublished 2018 PEA report 1.30 million tonnes grading 2.11 grams/tonne gold A qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves. The issuer is not treating the historical estimate as current mineral resources or mineral reserves. The MDO Plant is accessible by paved highway, 175 km from Parral, Chihuahua and from local area Santa Maria del Oro, approximately 5 km south of the property Manto is credited for consolidating the opportunity at the MDO Plant by resolving all past contractual disputes and established professional relationships with stakeholders and entering into formal agreements settling all disputes. ...