2nd Feb 2015 10:55
LONDON (Alliance News) - Metminco Ltd on Monday said it is making progress with its Los Calatos copper and molybdenum project in Peru as it remains in talks with potential buyers.
In the quarter to the end of December, the company completed a detailed relogging programme at Los Calatos and now expects an updated mineral resource estimate for the site to be published in March.
It said the work conducted at the site suggests continuous, high-grade zones exist at the site. It said that after the updated resource estimate is completed in March, it will initiate a preliminary economic assessment to evaluate the project further.
Elsewhere, the company said the decision from the Chilean Constitutional Tribunal regarding the mining access dispute at Mollacas is pending and it expects a decision in the case imminently.
The group had AUD1.2 million in cash at year-end, slightly higher than the AUD1 million it had at the end of 2013.
Metminco added it remains in talks with potential buyers and is evaluating a number of strategies with regard to potential acquisitions and funding for its ongoing operations.
"We have made considerable progress with respect to acquisition of a near term cash flow project and are hopeful that one of the transactions we are negotiating will be crystallised in due course," said William Howe, Managing Director of Metminco.
Shares in Metminco were down 16% to 0.33 pence on Monday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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