Medinah/Auryn - 2019 - 3rd Quarter General Discussion

Hochschilds up to something…

Canada’s Atex to acquire copper-gold project in Chile

MINING.COM Staff Writer | September 24, 2019 | 6:20 am Exploration Latin America Copper Gold

Atex team working in Chile. Image by Atex Resources.

Atex Resources (TSXV: ATX) announced that it entered into an option agreement to acquire the 3,705-hectare Valeriano copper-gold property located in the northern portion of Chile’s El Indio belt.

In a press release, the Vancouver-based miner said the Valeriano concessions overlie a large copper-gold-molybdenum-bearing porphyry system which has been only partially tested by three diamond drill holes completed in 2013 by Hochschild Mining.

THE VALERIANO PROPERTY IS UNDERLAIN BY ALTERED FELSIC VOLCANICS WHICH AT DEPTH HAVE BEEN INTRUDED BY A MULTI-PHASE GRANODIORITE PORPHYRY

According to Atex, historical information revealed that two of the drill holes intersected a potassic altered granodiorite porphyry including drill hole VAL13-14 which returned 1,194 metres grading 0.52% copper, 0.24 grams per tonne gold and 36 parts per million molybdenum.

“While prior operators focussed largely on the near-surface potential, it wasn’t until recently that the porphyry potential of the property was recognized,” Carl Hansen, Atex CEO, said in the media brief. “Deeper seated systems, such as Valeriano, represent the next stage in copper-gold porphyry mine development with major mining companies now exploring and developing bulk tonnage underground mines. We are eager to start a systematic exploration campaign with the goal of defining the full potential of the Valeriano copper-gold property.”

Hansen said that Atex has committed to invest $15 million on the project over a four-year term. At least 8,000 metres have to be drilled in the first two years.

The Canadian company also has to pay $12 million over four years in order to acquire 100% of the Valeriano concessions, currently owned by Sociedad Contractual Minera Valleno, an arm’s-length Chilean corporation.

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NOTE: My google maps search tells me the ADL is some 792 km SOUTH of this property that Atex optioned.

Man that’s pretty far! It’s where Jesus lost his shoes.

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Maybe the Atex property is on the same trend as the ADL?

I thought the whole thing interesting that Hochschild met and brought another resource into the mix in Chile. Nice to see even Hochschild going after heavy investors… If property has proven, why wouldn’t we be given the same consideration…
We being in the dark have very little idea…

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There’s a definite spotlight on mining in Chile thanks to it’s reputation for favorable and stable investment opportunities to foreigners. Chile also has the world’s 2 best copper producing mines in the world, Escondida and Collahuasi. It is blessed with some of the largest porphyry copper deposits anywhere, and is the world’s leading copper producer. Most of the known productive CU deposits are located in Northern Chile, so Valeriano is a good prospective play for Atex, but Atex is not Hochschild. Hochschild probably regrets not holding onto Valeriano in 2013, but is mentioned for historical context. It is therefore not unreasonable for Hochschild to take up to 5 years to throughly explore the potential of the LDM. In hindsight LDM may be riskier. Pegas Nero, Fortuna and Merlin (Larissa Adit)? … in the dark for now.

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New topic for 4th quarter