Vancouver, British Columbia, November 4, 2015 (TSX Venture: EMX; NYSE MKT: EMXX) - Eurasian Minerals Inc. (the “Company” or “EMX”) is pleased to announce that IG Copper LLC (“IGC”) advises it has signed a Financial Advisory Agreement (the “Agreement”) with the Russian Federation’s Far East Development Fund (“FEDF”) and that the Malmyzh Joint Venture was named “Explorer of the Year” at the recent MINEX Forum in Moscow. The Malmyzh exploration and mining licenses, located in the Russian Far East, are held by IGC (51%) and Freeport-McMoRan Exploration Corporation (49%) (the “Joint Venture”), with IGC operating and managing the project. EMX is IGC’s largest shareholder with 42.2% of the issued and outstanding shares.
The Far East Development Fund Agreement and MINEX award are two important achievements in the advancement of EMX’s strategic investment in IGC and the Malmyzh copper-gold porphyry project. The FEDF is a state institution setup to accelerate the development of the Russian Far East in coordination with the Federal Ministry of Far East Development. The FEDF directly invests in infrastructure projects to support private industry initiatives with the potential to positively impact development of the Far East region. In addition, the FEDF provides financial advisory and brokerage services to facilitate high-level investments from across the Russian Federation and Asia. The Agreement with the FEDF indicates a strong level of support and encouragement for IGC’s operations. The MINEX Explorer of the Year award recognizes the Malmyzh Joint Venture’s discovery of a significant copper-gold porphyry district in a frontier region, and the successful completion of the “Prospecting Phase” of the project’s development.
Malmyzh has open pit constrained inferred resources at a 0.30% copper equivalent cut-off of 1,661 million tonnes at average grades of 0.34% copper and 0.17 g/t gold, or 0.42% copper-equivalent, containing 5.65 million tonnes (12.45 billion pounds) copper and 9.11 million ounces gold, or 7.06 million tonnes (15.56 billion pounds) copper-equivalent (CuEq% = Cu% + (Au g/t x 0.5)). Please see EMX news release dated May 26, 2015, SEDAR filed report titled “NI 43-101 Technical Report on the Initial Mineral Resource Estimate for the Malmyzh Copper-Gold Project, Khabarovsk Krai, Russian Federation” with an effective date of May 1, 2015, and the attached map for more information.
EMX’s investment in IGC is in recognition of the significant potential of the discovery at Malmyzh, as well as IGC’s success in acquiring additional exploration properties in a prospective region under-explored for its porphyry copper-gold potential. The Company congratulates IGC and the Joint Venture on their excellent work and outstanding achievements, and looks forward to supporting ongoing success in advancing the Malmyzh project, as well as the other assets in IGC’s portfolio.
Far East Development Fund. The Far East Development Fund was established by the Russian government to stimulate economic development in the east of the country. The Malmyzh project is located in Khabarovsk Krai of Far East Russia, about 220 kilometers north of the border with China. The Financial Advisory Agreement allows IGC to work in partnership with the FEDF in attracting financing for the Malmyzh project from across the Russian and Asian investment community. Malmyzh is recognized within Russia as an exceptional asset that is strategically located in proximity to several of the world’s most dynamic economies. Russia’s commitment to development of the Far East through both Russian and foreign derived funding provides the potential to back existing IGC shareholders in support of the Malmyzh project. The FEDF’s stature will be further strengthened by plans to cooperate with the Shanghai-headquartered BRICS New Development Bank (TASS; July 7, 2015).
Explorer of the Year Award. The Malmyzh Joint Venture, through its Russian subsidiary Amur Minerals OOO, was the winner of a Russian Mining Excellence Award as the Explorer of the Year at the recent MINEX Russia International Mining and Exploration Forum in Moscow. MINEX is regarded as one of the most successful business-driven mining events in Russia, and attracts top investors, executives and managers from leading Russian and international companies. The event this year focused on the emerging role of the mining industry in accelerating development of the mineral-rich areas in the Far East and Siberia.
Mr. Thomas E. Bowens, IGC’s President and CEO, accepted the award on behalf of the Joint Venture. Mr. Bowens also was an invited speaker, and presented a talk titled “The Malmyzh Copper-Gold Porphyry Deposit, Khabarovsk Krai Russia - Discovery, Characteristics, and Implications”. The Malmyzh Joint Venture was cited for the listing on the State Balance of the “C1+C2 reserves” approved by the GKZ (State Reserves Committee), and completing the “Prospecting Phase” requirements for the Malmyzh exploration and mining licenses. The Joint Venture’s achievement of these objectives is a major step forward for the project. EMX emphasizes that the Malmyzh “official government approved C1+C2 reserves” were estimated according to the rules and regulations of the Russian Federation, and are not the same as reserves under NI 43-101.
Malmyzh Overview. Malmyzh has excellent logistics and infrastructure, and is covered by two exploration and mining licenses that total over 150 square kilometers. The project’s inferred resources include four (i.e., Valley, Freedom (SE), Central, and Flats) of the fourteen known porphyry targets on the property that have been drilled on nominal 200 by 200 meter grids. A table of open pit constrained inferred resources at a range of cut-off grades is given below (base case at 0.30% CuEq cut-off)