Chakana Relinquishes Condor Concessions, Soledad Project, Peru
Chakana Copper Corp. (CHKKF) announces its decision to relinquish the option to acquire three concessions from Condor Resources, which constitute 25% of its Soledad project in Ancash, Peru. Chairman Douglas Silver cites investor reluctance to fund projects with substantial outstanding payments as the primary reason. Despite efforts to negotiate a buyout, the costs exceeded the property's current value. Existing exploration permits on these concessions will be canceled, and Condor must start a new permitting process. Chakana will retain a 1% net smelter returns royalty on the relinquished concessions, with Condor having the option to purchase half of it for $1 million. The relinquished area includes 1.2 million tonnes for open-pit mining and 4.7 million tonnes for underground mining. Despite the loss, Chakana remains optimistic about its remaining 2,775 hectares, where recent drilling has shown promising results.
Chakana Copper Corp. (CHKKF) annuncia la sua decisione di rinunciare all'opzione di acquisire tre concessioni da Condor Resources, che costituiscono il 25% del suo progetto Soledad ad Ancash, in Perù. Il presidente Douglas Silver cita la riluttanza degli investitori a finanziare progetti con pagamenti significativi in sospeso come motivo principale. Nonostante gli sforzi per negoziare un'acquisizione, i costi superavano il valore attuale della proprietà. I permessi di esplorazione esistenti su queste concessioni verranno annullati e Condor dovrà avviare un nuovo processo di autorizzazione. Chakana manterrà una royalty del 1% sui ricavi della fusione netti sulle concessioni rinunciate, con Condor che avrà la possibilità di acquistarne metà per 1 milione di dollari. L'area rinunciata comprende 1,2 milioni di tonnellate per l'estrazione a cielo aperto e 4,7 milioni di tonnellate per l'estrazione sotterranea. Nonostante la perdita, Chakana rimane ottimista riguardo ai suoi restanti 2.775 ettari, dove recenti perforazioni hanno mostrato risultati promettenti.
Chakana Copper Corp. (CHKKF) anuncia su decisión de renunciar a la opción de adquirir tres concesiones de Condor Resources, que constituyen el 25% de su proyecto Soledad en Ancash, Perú. El presidente Douglas Silver cita la renuencia de los inversores a financiar proyectos con pagos pendientes sustanciales como la razón principal. A pesar de los esfuerzos por negociar una compra, los costos superaban el valor actual de la propiedad. Los permisos de exploración existentes en estas concesiones serán cancelados y Condor deberá iniciar un nuevo proceso de permisos. Chakana retendrá una regalía del 1% sobre las devoluciones netas de la fundición de las concesiones renunciadas, con Condor teniendo la opción de adquirir la mitad por 1 millón de dólares. El área renunciada incluye 1,2 millones de toneladas para minería a cielo abierto y 4,7 millones de toneladas para minería subterránea. A pesar de la pérdida, Chakana se mantiene optimista con respecto a sus 2.775 hectáreas restantes, donde las perforaciones recientes han mostrado resultados prometedores.
Chakana Copper Corp. (CHKKF)는 페루 앙카시의 Soledad 프로젝트의 25%를 구성하는 Condor Resources의 세 개의 채굴권 취득 옵션을 포기하기로 결정했다고 발표했습니다. 회장인 더글라스 실버는 큰 미지급금이 있는 프로젝트에 투자자들이 자금을 지원하기를 꺼리는 것이 주요 이유라고 언급했습니다. 인수 협상 시도가 있었으나, 비용이 자산의 현재 가치를 초과했습니다. 이러한 채굴권에 대한 기존 탐사 허가는 취소될 것이며, Condor는 새로운 허가 절차를 시작해야 합니다. Chakana는 포기한 채굴권에 대해 1%의 순제련세를 유지하며, Condor는 그 중 절반을 100만 달러에 구매할 수 있는 옵션을 갖습니다. 포기된 지역은 노천 채굴을 위한 120만 톤 및 지하 채굴을 위한 470만 톤이 포함됩니다. 손실에도 불구하고 Chakana는 최근 시추에서 유망한 결과를 보인 남은 2,775헥타르에 대해 낙관적인 입장을 유지하고 있습니다.
Chakana Copper Corp. (CHKKF) annonce sa décision de renoncer à l’option d’acquérir trois concessions de Condor Resources, qui représentent 25 % de son projet Soledad en Ancash, Pérou. Le président Douglas Silver cite la réticence des investisseurs à financer des projets avec des paiements importants en souffrance comme raison principale. Malgré les efforts pour négocier un rachat, les coûts ont dépassé la valeur actuelle du bien. Les permis d'exploration existants sur ces concessions seront annulés et Condor devra entamer un nouveau processus de permis. Chakana conservera une redevance de 1 % sur les revenus nets de fusion des concessions abandonnées, Condor ayant la possibilité d'en acheter la moitié pour 1 million de dollars. La zone abandonnée comprend 1,2 million de tonnes pour l'exploitation à ciel ouvert et 4,7 millions de tonnes pour l'exploitation souterraine. Malgré cette perte, Chakana reste optimiste quant à ses 2 775 hectares restants, où les forages récents ont montré des résultats prometteurs.
Chakana Copper Corp. (CHKKF) kündigt seine Entscheidung an, die Option auf den Erwerb von drei Konzessionen von Condor Resources, die 25 % seines Soledad-Projekts in Ancash, Peru, ausmachen, aufzugeben. Vorsitzender Douglas Silver nennt die Zurückhaltung der Investoren, Projekte mit erheblichen ausstehenden Zahlungen zu finanzieren, als Hauptgrund. Trotz der Bemühungen, einen Kauf zu verhandeln, überstiegen die Kosten den aktuellen Wert des Grundstücks. Die bestehenden Explorationsgenehmigungen für diese Konzessionen werden annulliert, und Condor muss einen neuen Genehmigungsprozess einleiten. Chakana behält eine 1 %ige Lizenzgebühr auf die aufgegebenen Konzessionen bei, wobei Condor die Möglichkeit hat, die Hälfte davon für 1 Million Dollar zu kaufen. Das aufgegebene Gebiet umfasst 1,2 Millionen Tonnen für den Tagebau und 4,7 Millionen Tonnen für den Untertagebau. Trotz des Verlustes bleibt Chakana optimistisch hinsichtlich der verbleibenden 2.775 Hektar, wo aktuelle Bohrungen vielversprechende Ergebnisse gezeigt haben.
- Chakana retains 2,775 hectares of highly prospective land.
- Recent drilling discovered high-grade copper-gold-silver breccia and high-grade silver mineralization.
- Relinquished 25% of the Soledad project due to high outstanding property payments.
- Exploration permits on the relinquished concessions will be canceled.
- Previous negotiations to reduce buyout costs were unsuccessful.
Vancouver, British Columbia--(Newsfile Corp. - October 8, 2024) - Chakana Copper Corp. (TSXV: PERU) (OTCQB: CHKKF) (FSE: 1ZX) (the "Company" or "Chakana"), reports that the Board has decided to relinquish its option to acquire three concessions from Condor Resources Inc. (TSXV: CN) ("Condor"), that make up approximately
Mr. Douglas Silver, Chairman of Chakana, explains "during this time of difficult market conditions, we were told by investors that they will not fund a project with substantial outstanding property payments. The remaining property payments to Condor in addition to payments already made greatly exceeded the current value of the property. We tried over multiple months to negotiate a reasonable buyout price but were ultimately unsuccessful. While our preference is to keep the consolidated land position together, doing so only makes sense if it is economically feasible. We are still very optimistic about our remaining land holdings becoming a future precious metal and copper producing asset."
According to regulatory procedure, Chakana's existing exploration permits on the Condor Concessions will be cancelled and Condor will have to start a new permitting process should they elect to do so. Additionally, Chakana has requested that Condor take possession of the physical assets relating to the Condor Concessions, which includes 44,919 metres of drill core and 34 tonnes of rejects and analytical pulps currently stored at Chakana's warehouse facility. Chakana controls the surface rights over the expanded Soledad project, including the Condor Concessions, which means that Condor will not have access to the Condor Concessions without establishing an access agreement with Chakana. As part of a previous royalty purchase agreement with Condor, Condor will grant a
Based on an initial inferred resource published in February 2022, approximately 1.2 million tonnes amenable to extraction by open pit mining methods and 4.7 million tonnes amenable to extraction by underground mining methods are located on the Condor Concessions (see Chakana's news release dated February 23, 2022 and the technical report titled "Independent Technical Report for the Soledad Copper Project, Ancash Department, Peru" dated February 23, 2022, available under the Chakana's issuer profile at www.sedarplus.ca).
Although the relinquishment of any portion of a consolidated land position is unfortunate, the Company's management believes that the remaining 2,775 hectares is highly prospective. Exploration initially began in 2017 on the Condor Concessions and systematically moved to the south based on the recognition of a much larger mineral system. In 2022, several higher-priority shallow targets were tested on the Condor Concessions with limited success (see Chakana's news release dated September 22, 2022). All of the obvious outcropping mineralized breccias on the Condor Concessions have been drill tested. Since 2023, the focus of exploration has been on the southern half of the project where recent drilling has discovered additional high-grade copper-gold-silver breccia mineralization at Estremadoyro, high-grade silver mineralization at the La Joya prospect, and defined two discrete porphyry targets within the large Mega-Gold target area (see Chakana's news releases dated May 8, 2024 and August 29, 2024).
Qualified person
David Kelley, an officer and a director of Chakana and a qualified person as defined by National Instrument 43-101 - Standards for Disclosure of Mineral Projects, reviewed and approved the technical information in this news release.
ON BEHALF OF THE BOARD
(signed) "Douglas Silver"
Douglas Silver
Chairman of the Board
For further information contact:
Phone: 720-233-2166
Email: info@chakanacopper.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking Statement Advisory: This release may contain forward-looking statements. Forward-looking statements or information relates to, among other things, the interpretation of the nature of the mineralization at the Soledad copper-gold-silver project (the "Project"), the potential to expand the mineralization, and to develop and grow a resource within the Project, the planning for further exploration work, the ability to de-risk the potential exploration targets, and our belief in the potential for mineralization within unexplored parts of the Project. These forward-looking statements are based on management's current expectations and beliefs and involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Chakana to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. including, without limitation, the need for additional capital by the Company through financings, and the risk that such funds may not be raised; the speculative nature of exploration and the stages of the Company's properties; the effect of changes in commodity prices; regulatory risks and risks that the development of the Company's material properties will not be acceptable for social, environmental or other reasons; availability of equipment (including drills) and personnel to carry out work programs; that each stage of work will be completed within expected time frames; that current geological models and interpretations prove correct; the results of ongoing work programs may lead to a change of exploration priorities; and the efforts and abilities of the senior management team. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements or information. Additional risk factors and details with respect to risk factors that may affect the Company's ability to achieve the expectations set forth in the forward-looking statements contained in this news release are set out in the Company's management discussion and analysis, which is available under the Company's profile at www.sedarplus.ca. Accordingly, readers are cautioned not to place undue reliance on such forward- looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/225956
FAQ
Why did Chakana Copper relinquish the Condor Concessions in the Soledad project?
What impact does the relinquishment of the Condor Concessions have on Chakana Copper's exploration permits?
What is the net smelter returns royalty Chakana retains on the Condor Concessions?
What are the remaining land holdings of Chakana Copper after relinquishing the Condor Concessions?
What recent discoveries have been made in Chakana Copper's remaining Soledad project?
