Centurion Executes LOI with Demetra Minerals: Ana Sofia Project
VANCOUVER, BC / ACCESSWIRE / November 2, 2015 / Centurion Minerals Ltd. (TSXV: CTN) ("Centurion", or the "Company") is pleased to announce that it has signed a non-binding Letter of Intent (LOI) with Demetra Minerals Inc. ("Demetra") to develop the Ana Sofia agricultural gypsum project in Santiago del Estero province, Argentina. Demetra is a privately held, Vancouver based agri-mining company and the beneficial owner of 100% of the Ana Sofia project. It has been focused on identifying, developing and marketing calcium sulfate, a mineral fertilizer and soil conditioner (also known as agricultural gypsum) for the markets of Argentina, Paraguay, Bolivia, Brazil and Chile. It is the intention of Centurion and Demetra to enter into an initial 50/50 Joint Venture to accelerate development of the Ana Sofia project to production.
Ana Sofia is a 500 hectare agricultural gypsum property located approximately 50 kilometers west of the provincial capital city of Santiago del Estero in north western, Argentina. Exploration work including trenching and sampling has identified high grade near surface mineralized material. Demetra has received environmental and export approvals from the provincial and federal authorities and has been issued a mining permit. An initial NI 43-101 geological report will be commissioned in order to summarize work completed to date and recommendations to advance the project. Small scale production has historically taken place within the Ana Sofia property and within the region other small scale producers are currently extracting agricultural gypsum and selling to fertilizer distributors and farmers. Agricultural gypsum is a valuable plant nutrient and plays a vital role in maintaining soil structure and nutrient balance in South American soils, allowing greater crop yields.
The Company's initial objectives will be to identify and estimate sufficient resources to support development of a production facility to supply a ready market of identified fertilizer distributors.
On closing of the definitive Joint Venture agreement, Centurion shall issue common shares equal to 9.9% of its issued and outstanding shares up to a maximum of 2 million. Demetra will be appointed as the operator of the Project. The managing board of the Joint Venture shall consist of 5 members - 3 Centurion nominees and 2 Demetra nominees. Mr. Gregg Jensen, the current CEO of Demetra, shall be appointed to the Board of Directors of Centurion, and shall hold the position of COO of the Company. Centurion shall be responsible for all costs and expenses associated directly and indirectly with bringing the Ana Sofia Project to commercial production.
Provided that after Centurion has expended US$6 million in development costs, all further costs and expenses shall be borne equally by the JV parties on a 50/50 basis. After the joint venture achieves production, both parties shall have the right to call for an amalgamation. Centurion shall have the right to acquire 100% of Demetra by issuing approximately 23 million common shares.
Closing will be subject to a number of conditions including, completion of due diligence, execution of a definitive joint venture agreement, as well as Board of Directors and regulatory approval.
ABOUT CENTURION
Centurion Minerals Ltd. is a Canadian-based company focused on the exploration and development of gold and other mineral projects.
On Behalf of the Board,
"David G. Tafel"
President and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information Contact:
David Tafel
(604) 484-2161
www.centurionminerals.com
info@centurionminerals.com
This news release may contain forward looking statements concerning future operations of Centurion Minerals Ltd. (the "Company"). All forward looking statements concerning the Company's future plans and operations, including management's assessment of the Company's project expectations or beliefs may be subject to certain assumptions, risks and uncertainties beyond the Company's control. Investors are cautioned that any such statements are not guarantees of future performance and that actual performance and exploration and financial results may differ materially from any estimates or projections.
SOURCE: Centurion Minerals Ltd.
