Strike Resources (ASX: SRK) has made a confidential non-binding offer to acquire full control of Cuervo Resources’ (CNSX: FE) iron ore assets, including the Cerro Ccopane Project, in Peru.
The decision was made after it noticed Cuervo’s low level of cash reserves and discussions held with Cuervo regarding future funding requirements.
Cuervo’s directors are currently reviewing and assessing the offer.
Resources at Cerro Ccopane were more than doubled in July to 395.6 million tonnes at 43.8% iron after completion of a Resource estimate for the Bob1 Prospect, which contains magnetite dominant iron ore grading 40.2% iron.
It consists of 36 mining concessions covering 19,200 hectares in Cusco Departamento, Peru, about 65 kilometres from the city of Cuzco.
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