Panoro Minerals and Japan Oil, Gas and Metals National Corporation (JOGMEC) have agreed to terminate their joint venture on the Humamantata project in Peru.
The joint venture (JV) agreement was signed in 2018, pursuant to which JOGMEC gained an option to earn up to a 60% project interest, by making an investment of $8m.
The project has received permissions including approval of the environmental permit, water permit and archaeological permit, along with agreements with private land owners.
With the JV termination, Panoro retains 100% stake in the Humamantata project and will evaluate other joint venture or partnership agreements to continue the exploration.
Panoro Minerals president and CEO Luquman Shaheen said: “We are pleased that Panoro and JOGMEC worked together to identify very prospective mineralized targets while substantially completing the permitting required to start drilling.
“Unfortunately, budget constraints and schedule delays, resulting from the Covid-19 pandemic, do not permit JOGMEC to continue funding the next phase of exploration.
“Approximately $2.4m has been invested in the exploration work to date and we look forward to advancing the project in the near future.”
The Humamantata project is strategically located in Southern Peru, covering an area of 3,600ha, with different types of mineralisation.
The project is located close to the Las Bambas Copper Mine, Constancia Copper Mine, along with other copper projects including Haquira, Antilla and Cotabambas.
According to Panoro Minerals, exploration at the project identified four porphyry, hydrothermal breccia and skarn targets with anomalous grades of copper, silver and gold extending.
In 2014 and 2015, the company has completed exploration activities at the project, including geologic mapping in 1:10,000 scale, covering an area of 2,000ha.
Also, it has conducted a geochemical survey with the collection 326 surface rock chip samples.
In June last year, Panoro Minerals completed the sale of the Cochasayhuas gold project to Mintania of Peru.
With a total life of mine production of 401,000 ounces of gold and 480,000 ounces of silver, the Cochasayhuas project is a past producing underground mine in operation until the 1950’s.
