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Brazil gold acquisition ‘strategic’, says Crusader

Brazil gold acquisition ‘strategic’, says Crusader

Photo by Bloomberg

15th May 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) - Brazil-focused Crusader Resources has extended its reach past iron-ore, announcing on Thursday that it had signed a conditional sales and purchase agreement for the Juruena gold project, from TSX-listed Lago Dourado.

“Juruena is a strategic acquisition for Crusader. The Juruena project advances our Brazilian gold ambitions, complements our Borborema project and presents an exceptional opportunity for Crusader to build its portfolio of projects and create a pipeline of future developments and production assets,” said Crusader MD Rob Smakman.

Under the terms of the agreement, Crusader would acquire the Juruena project, which consists of the Juruena and the Novo Astro prospects, for C$650 000, which was payable in two tranches, as well as two-million fully paid shares.

The Juruena project consists of 21 exploration licences and applications and covers 44 702 ha. The project area has, historically, been subject to artisanal miners, with about 500 000 oz of gold removed from near-surface operations.

Smakman said on Thursday that the project had multiple drill-ready targets, a full camp, skilled local personnel and a detailed database of high-quality exploration information.

“Combined with Borborema, Crusader now has a gold portfolio with the potential to create significant value for the company,” he said.

Borborema has a maiden ore reserve of 1.61-million ounces, from 42.4-million tonnes of ore grading 1.18 g/t gold.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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