THE BOURSE WHISPERER: Azure Minerals (ASX: AZS) has acquired a 100 per cent interest in the Loreto copper project, located in the state of Baja California Sur, Mexico.
The Loreto property covers an area of 9,571 hectares and is located on the east coast of the Baja California peninsula.
Location of Loreto project. Source: Company announcement
Azure picked up the project at a recent Mexican Geological Survey (SGM) auction for exploration projects considered prospective for precious and base metals.
The company’s winning for the Loreto project will cost it US$137,000 plus a one per cent Net Smelter Return.
The cash component is required to be paid in eight equal six monthly instalments.
“We had identified the Baja Peninsula as a highly prospective area some time ago and had been actively looking for opportunities to acquire a foothold in that province,” Azure Minerals managing director Anthony Rovira said in the company’s announcement to the Australian Securities Exchange.
“The acquisition of the Loreto project for what we see as a bargain price is a great first step into that area.”
Azure described the Loreto project as containing occurrences of outcropping copper mineralisation and artisanal mine workings.
Surface sampling undertaken by SGM returned anomalous copper and gold assays, ranging up to 10.1 per cent and 2.1 per cent copper and 7.6 grams per tonne and 2.8 grams per tonne gold.
Both SGM and Azure consider the property has potential to host significant porphyry copper mineralisation.
Azure will commence exploration this month.