Sign up Australia
Proactive Investors - Run By Investors For Investors

Southern Hemisphere Mining signs deal with Canadian major for copper-gold project in Chile

Hudbay Minerals intends to acquire 70% of the project in US$5.8 million option agreement.
Acquisition sign
Llahuin has measured and indicated resources of 149 million tonnes at 0.41% copper equivalent

Southern Hemisphere Mining Ltd (ASX:SUH) has signed a deal which could result in Canadian copper producer Hudbay Minerals Inc. (TSX:HBM) (NYSE:HBM) obtaining 70% of the Llahuin Copper-Gold Project in Chile.

An option agreement has been signed by the company’s subsidiary Minera Llahuin SCM with Hudbay’s subsidiary HudBay Chile SpA.

The agreement provides a path for Hudbay Chile to earn a 70% interest in the Llahuin Project by making a series of cash payments totalling US$5.8 million over five years.

Exploration commitment

It also involves Hudbay Chile committing to spend a minimum of US$3.5 million on exploration over the first three years.

A cash payment of US$50,000 was paid by Hudbay Chile to Minera Llahuin upon execution of the option agreement.

Llahuin is a highly prospective copper-gold project close to the city of Illapel in the Coquimbo Region, 250 kilometres north of Santiago.

Measured and indicated resource

The project has a measured and indicated resource of 149 million tonnes at 0.29% copper, 0.12 g/t gold and 0.008% molybdenum, or 0.41% copper equivalent.

It also has an inferred resource of 20 million tonnes at 0.20% copper, 0.19 g/t gold and 0.005% molybdenum, or 0.36% copper equivalent.

There is an opportunity to grow the resource, which is mainly from the Central Porphyry Zone, particularly from the Cerro de Oro and Ferrocarril zones.

View full SUH profile View Profile

Southern Hemisphere Mining Timeline

Related Articles

1539586367_zinc-periodic-3.jpg
Mon
Galileo will now undertake a scoping study to model the economics of the Star Zinc project
gold bars
August 02 2018
Arc Minerals has significant upside at kalaba in Zambia
Checking a Redmoor core sample
May 11 2018
The Redmoor project's inferred resource has 45,000 tonnes of contained tin equivalent.

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use