Auxico Resources Canada Inc (CSE:AUAG, OTCQB:AUXIF) announced that it has executed a Memorandum of Understanding (MOU) to acquire an 85% equity interest in Empresa Minera El Benton SRL, a company that holds the mining title and rights to the El Benton Mine and adjacent Monte Verde concessions in Bolivia.
The mineral properties explorer/developer said the El Benton Mine is a past-producing operation with all the necessary licenses, which previously exported tantalum and niobium concentrates.
The company noted the MOU entails that Auxico make a US$40,000 initial payment, plus a payment of US$100,000 due on delivery of mining and environmental permits, which are currently being renewed, with Auxico retaining an 85% equity interest and profit share under the format of a joint venture with the current property owner.
Auxico added that its objective is to relaunch the mine for the production of commercial niobium and tantalum concentrates, to define the lithium potential of the property, and to undertake optimal sorting in order to create concentrates of elements required for the energetic transition.
A sample taken from exported commercial concentrates at the El Benton Mine yielded grades of 48.97% niobium and 22.25% tantalum, according to the company.
Auxico Resources Canada was founded in 2014 and is engaged in the acquisition, exploration and development of mineral properties in Colombia, Brazil, Mexico and the Democratic Republic of the Congo.
Contact Sean at sean@proactiveinvestors.com