Minera Alamos Inc. (TSXV:MAI, OTCQB:VGMTF) (the “Company” or “Minera Alamos“) is pleased to announce it has entered into an option agreement dated October 23, 2017 (the “Agreement”) with Vista Gold Corp. (“Vista Gold”) to acquire all of the issued shares (the “Shares”) of Vista Gold’s subsidiary Minera Gold Stake S.A. de C.V. which owns the Guadalupe de Los Reyes Project (“Guadalupe” or the “Project”). Guadalupe is a gold-silver project located in the Sierra Madre Range in Sinaloa, Mexico and approximately 3 hours from the Company’s base of operations in Culiacan. It is one of the most significant historic gold producers in this region of Mexico and contains a near surface gold resource consisting of 380,100 Indicated ounces (6.8 MM tonnes @ 1.73 g/t Au) with an additional 155,200 Inferred ounces (3.2 MM tonnes @ 1.49 g/t Au)*, in addition to significant exploration potential from previously identified mineralized structures that remain undrilled. Minera Alamos’ immediate goal is to utilize its extensive in-house technical expertise to evaluate the potential for the project to be developed as a low capital heap leaching operation.
- Acquisition of second high quality advanced stage gold development project: Acquisition leverages Company’s new strategic alliance with Osisko Gold Royalties Ltd. and management’s extensive expertise with the development and operation of low capex heap leach projects in Mexico.
- Project is ideal complement to Company’s flagship La Fortuna gold project: Addition of Guadalupe project almost triples the Company’s current base of gold resources and is ideally located to be advanced in tandem as the Company’s second potential production asset.
- Acquisition cost of approximately US$ 15/oz (gold): Based on the Guadalupe resource totals as presently estimated.
- Large prospective land package: Over 6000 hectares of contiguous land holdings surrounding the historic Guadalupe de los Reyes mine. Large regional system of epithermal mineralized structures with at least eight zones of mineralization mapped and sampled at surface, only four of which have been partially drilled.