Vancouver, British Columbia, October 30, 2013 (TSX Venture: EMX; NYSE MKT: EMXX) - Eurasian Minerals Inc. (the “Company” or “EMX”) is pleased to announce that it has entered into three exploration and earn-in agreements, through its wholly-owned subsidiary Bronco Creek Exploration Inc., with Savant Explorations Ltd. (TSX Venture: SVT) (“Savant”) for the Jasper Canyon, Buckhorn Creek, and Frazier Creek porphyry copper projects (each a “Project” and collectively the “Projects”). The Jasper Canyon and Buckhorn Creek Projects are located in the Laramide porphyry copper belt of southern Arizona and the Frazier Creek Project is located in the Battle Mountain-Eureka trend of north-central Nevada. The Projects lie in geologically complex areas where mineralizing systems have been structurally dismembered, tilted, and largely covered by post-mineral rocks. Recognition of the post-mineral structural relationships, and application of alteration and mineral zoning patterns and geochemical signatures in that context, has identified untested porphyry copper targets at each of the three Projects.
Overview of Commercial Terms for Each Project. Each of the Projects - Jasper Canyon, Buckhorn Creek and Frazier Creek - is covered by a separate exploration and earn-in agreement. Pursuant to each Project earn-in agreement, Savant can earn an initial 60% interest in the Project by completing a total of $2,070,000 (all dollar amounts in USD) in work expenditures, delivering 800,000 shares of Savant, reimbursing EMX’s 2013-2014 property holding costs, and paying a total of $342,500 in several tranches over a five year period. In addition, for each Project, upon completion of an NI 43-101 compliant preliminary economic assessment (“PEA”), Savant will make an additional payment to EMX of $75,000.
Each Project earn-in agreement provides that after Savant has earned the initial 60% interest in the Project, Savant may either:
- Earn an additional 40% interest in the Project by completing an additional $10,000,000 in work expenditures, paying EMX $500,000, granting EMX a 2.5% NSR royalty and paying annual advanced royalty payments of $200,000, until production but capped at 20 years; or
- Elect not to acquire the remaining 40% interest but instead elect to form a joint venture company (“JV”).