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Avrupa and Antofagasta Minerals S.A. sign exploration agreement in Portugal
June 6, 2011
Avrupa Minerals Ltd. (AVU:TSXV) is pleased to announce that it has signed a Memorandum of Understanding (“MOU”) with Antofagasta Minerals S.A. (“AMSA”) to undertake exploration for copper-zinc massive sulfide deposits on three contiguous licenses (the “Alvalade Project” or the “Property”) covering approximately 1,000 square kilometers in the Portuguese portion of the Iberian Pyrite Belt (“IPB”). The Alvalade Project covers over 30 kilometers of prospective target areas in three separate trends of potentially favorable host rocks in the northern part of the IPB. Previous work by Avrupa in this portion of the IPB has suggested that there are numerous untested target areas within the license block.
- The agreement will cover three Avrupa licenses (the “Property”): Alvalade, Canal Caveira, and Ferriera do Alentejo. Formerly operating Lousal and Caveira mines are located within the 1,000 square kilometer Property.
- AMSA has committed US$ 300,000 over a 6-month period to complete an initial study of the Property, which will include acquisition of all remaining historic data, re-logging of selected drill holes, systematic sampling, and integrated geological and geophysical interpretation of the targeted areas.
- Upon completion of the initial study and positive due diligence, Avrupa will grant to AMSA the option to acquire an undivided 51% of the Property, which can be exercised by AMSA funding or incurring expenditures of an additional US$ 4 million over three years.
- After exercise of the first option, AMSA will be granted a further option to acquire an additional 24% interest in the Property, for an aggregate 75% undivided interest, by completing and delivering a Feasibility Study on the Property to Avrupa within five years.
- Avrupa will operate the joint venture through the first option period.
Avrupa CEO Paul Kuhn commented, “The agreement solidifies our generative exploration program in the Portuguese Pyrite Belt. This exciting development will allow us to move aggressively forward on the Alvalade Project with the support of one of the world’s biggest copper producers and development-oriented explorers. Avrupa and AMSA both view the potential for discovery of large copper-bearing massive sulfide deposits on the Property as strongly favorable. Systematic exploration and drill target generation on the Property will begin immediately.”
About Antofagasta Minerals S.A. (“AMSA”): AMSA is the mining division of Antofagasta plc ("Antofagasta"), a Chilean-based copper mining company listed on the London Stock Exchange and a constituent of the FTSE-100 Index, which also has interests in transport and water distribution. Antofagasta's activities are primarily concentrated in Chile where it owns and operates three copper mines: Los Pelambres, El Tesoro, and Michilla. Total production in 2010 included 521,100 metric tonnes of copper in cathode and concentrate, 8,800 metric tonnes of molybdenum in concentrate, and 35,100 ounces of gold. With a fourth mine, Esperanza, now being commissioned, the Group is expected to increase total production in 2011 to nearly 700,000 metric tonnes of copper, 9,000 metric tonnes of molybdenum and 300,000 ounces of gold. Antofagasta also has ongoing exploration, evaluation, or feasibility programs in North America, Latin America, Europe, Asia, and Australia.
Avrupa Minerals Ltd. is a growth-oriented junior exploration and development company focused on aggressive exploration, using a prospect generator model, for valuable mineral deposits in politically stable and prospective regions of Europe, including Portugal and Kosovo.
Avrupa has an exciting portfolio of exploration projects consisting of:
- Copper and Zinc in Portugal at Marateca, Alvalade, Canal Caveira, and Ferreira do Alentejo in the Iberian Pyrite Belt, where Europe’s richest active copper mine is located;
- Blackheath Resources JV: Covas Tungsten property in Portugal
- Silver, Lead and Zinc in Kosovo at the Glavej, Kamenica, and Bajgora properties in the Trepça Mineral Belt of the Vardar Zone, historically, Europe’s most productive district for lead and zinc;
- Copper in Kosovo at the Rezhanc property in the Macedonian porphyry belt.
For additional information, contact Avrupa Minerals Ltd. at 1-604-687-3520 or visit our website at www.avrupaminerals.com.
On behalf of the Board,
“Paul W. Kuhn”
Paul W. Kuhn, President & Director
This news release was prepared by Company management, who take full responsibility for its content. Paul W. Kuhn, President and CEO of Avrupa Minerals, a Licensed Professional Geologist in the State of Washington, USA, is a Qualified Person as defined by National Instrument 43-101 of the Canadian Securities Administrators. He has reviewed the technical disclosure in this release.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.