MANDALAY AND MRG REACH AGREEMENT TO EXPLORE OPPORTUNITIES FOR SALE OF ASSET • MRG successfully completes Phase 1, reaching 1 st earn-in milestone of US$500,000 expenditure to earn 10% of the Norrliden Project.
• Phase 1 work produced a Mineral Resource Estimate (MRE) of the Norra and Bjurfors deposits and a first pass study of the potential economic viability of their development.
• The first pass study produced a potentially economic estimated net profit of US$111 M for the Norra deposit and US$2.4M for the Bjurfors deposit.
• Phase 2 Exploration will see MRG earn to 25% with expenditure of US$500,000 (cumulative US$1,000,000).
• MRG is now developing an extensive exploration plan designed for Phase 2 Exploration to grow the current global resource base of 5.2Mt @ 2.1% Zn, 0.4% Cu, 0.2% Pb, 0.3 g/t Au, 29 g/t Ag1 .
• Program to comprise follow up of promising Södra drilling in Phase 1, including 8m @ 2.3g/t Au, 130 g/t Ag, 0.46% Zn and 0.21% Pb from 57m in drillhole NOR17001. • Mandalay and MRG are exploring opportunities for the sale of the asset that recognises MRG’s right to earn up to 50% equity under the JV agreement.
MRQ Price at posting:
0.6¢ Sentiment: None Disclosure: Held
