AMEX GRANT TO BOWMORE OPTION TO ACQUIRE UP TO 70% INTEREST IN ITS NATORA-SOUTH GOLD PROPERTY IN MEXICO.
AMEX Exploration Inc. signed an Option Agreement with Bowmore Exploration Inc (BOW: TSX-V) in which Bowmore may acquire up to 70% interest in the Natora-South gold property from Amex subsidiary Minerales X-ORE S.A. de C.V. a Mexican mining corporation in the State of Sonora, Mexico. Minerales X-ORE S.A. de C.V. was acquired from Blue Note Mining Inc. as disclosed on press release dated March 18, 2010 by acquisition of all the outstanding shares of X-Ore International Inc.
The Natora-South property covers 24,841 hectares and is located on the Sierra Madre gold silver belt, with the same geological setting as that of “Minefinders” Dolores mine located 15 km East, “Alamos” Mulatos deposit 40 km south and “Gammon Gold” Ocampo deposit 80 km south. This property is in fact the southern part of the larger original Natora Property that covers close to 37,000 hectares that now is owned at 100% by Amex. The property has been the object of continuous sampling, geological mapping, trenching and some core drilling by Minerales X-Ore S.A. de CV during the last 4 years. This Mexican subsidiary holds in fact three properties that covers more than 42,000 hectares, all located in the prolific Sierra Madre Gold-Silver Belt.
In order to acquire an initial 50% in the Property, Bowmore shall make cash payments totaling $250,000 to Amex, issue a total of 150,000 of its common shares and incur expenditures in the aggregate amount of at least $1,250,000 within 24 months of the execution of the Agreement. In addition, Bowmore shall make an investment of $62,500 in the form of a private placement of securities of Amex. In order to obtain an additional 20% interest in the Property, Bowmore shall make additional cash payments totaling $200,000, issue a total of 100,000 of its common shares to Amex and incur expenditures in the aggregate amount of at least $750,000 within 24 months of the election to acquire an additional 20% in the Property.
During the option period, Amex will be the operator and a management committee formed by two representatives of each companies will be responsible for the planning of all exploration programs and budgets. After the option agreement has been completed, a joint venture will be formed according to each of the party interest.
Jacques Trottier, Ph.D., President and CEO of Amex, comments: ‘We are very pleased and proud to associate ourselves with the Bowmore team that has demonstrated on a very short period of time their highly professional management skills, as demonstrated by the conclusion recently of a strategic partnership with Osisko Mining Corporation (OSK: TSX), along with a dynamic technical organization working in Mexico in the last few years. We are convinced that an advantageous synergy for both companies will be created by combining both geological expertise .This will definitely help to better and more efficiently fully develop the real potential of the Natora-South property’.
During the option period, Amex will be concentrating its exploration efforts on its 100% owned Natora-North property as well on a reevaluation of its two other Mexican projects, namely Nueva Escondida and El Jabali.
Amex Exploration Inc. has signed highly qualified and experienced individuals that will form the core of its new exploration team that will operate its newly acquired subsidiary ‘Minerales X-Ore S.A. de CV’ that holds three properties covering more than 40,000 hectares in the prolific Sierra Madre Gold-Silver Belt of Mexico. This group of specialists, that has a vast experience of exploration in Mexico and will be working out from our new company’s exploration office located in Hermosillo, Province of Sonora, Northern Mexico, are as the following:
Juan-Manuel Morales is appointed as our national General Manager for the Mexican subsidiary. Mexican born, Juan-Manuel has a Bachelor Degree in Geology with more than 25 years of experience in Mexican epithermal deposits exploration and evaluation. He has worked for several important mining companies such as Regional Manager for Cambior for about ten year. Juan-Manuel is a Certified Professional Geologist (CPG-11234) member of the American Institute of Professional Geologists (AIPG), and a “Qualified Person” for the purposes of CSA National Instrument 43-101. Mr. Morales will provide the company with his extensive experience and knowledge, not only about the technical aspects of the Mexican geology, but also as for the company representative for all land access, social communities and government relationship issues.
Richard Simpson, Professional Geologist with more than 20 years of exploration experience through all Latin Americas is nominated as the Exploration Manager, Americas for Amex Exploration inc. His main responsibilities will be to prepare, organize and execute all of the exploration programs of the company out of Canada. He is a graduate from the Universite de Montreal in 1989 with a B.Sc. in geology and has a strong background in grassroots, advanced project, and mine site exploration. Richard has worked for several companies, both majors, such as Iamgold and Cambior, and juniors including Normabec, as an exploration geologist throughout South America and Mexico. This international experience has provided him with good exposure to many geological settings and mineralization processes (lateritic profiles, gold/copper porphyries, epithermal systems and skarns). Early in his career, he has also worked in Northern Quebec (Abitibi), Manitoba and Nunavut on numerous VMS and precious metal projects for Noranda and Aur Resources.
Finally, Maurice Gendron is completing the team as mining exploration technician and responsible for the technical and logistical support of the Mexican subsidiary. Maurice has a DEC in applied exploration geology from the CEGEP of Thetford Mines and has more than 30 years of experience in both mining and exploration techniques, of which the last 15 years in Mexico. He has worked in there for Cambior for 8 years and since then for ‘Minerales X-Ore S.A. de CV. His longtime experience in Mexico will be an important asset to Amex representation in this country.
This team will have the mandate to organize and execute all of the exploration work approved by the management that will be initiated very shortly on the portfolio of newly acquired Mexican properties through the 100% owned subsidiary Minerales X-Ore S.A. de CV. This subsidary holds 100% of the mining rights respectively of the Natora, of which the southern part has just being optioned by Bowmore Exploration (Natora-South; see Press Release of April 08, 2010), Nueva Escondida and Alanza properties all located in the prolific Sierra Madre Gold-Silver Belt of Mexico.
Amex President and CEO, Dr. Jacques Trottier, comments: “We are very pleased to have been able to put together such a highly experienced and skill exploration team for our needs in Mexico. I am personally convinced that this team will perform to the highest level in order to fully develop the great potential of this portfolio of high quality projects for the benefit of Amex shareholders.”