British Columbia – Goldcorp has agreed to sell its Camino Rojo project in Zacatecas, Mexico, to Vancouver-based Orla Mining. The gold and silver oxide heap leach project holds historic reserves of 1.7 million oz. gold and historic resources of 4 million oz. gold.
Exploration at Camino Rojo in 2008, when the project was owned by Canplats Resources.
In return, Goldcorp will receive a 19.9% stake (31.9 million shares) in Orla, a 2% net smelter return royalty on production from the project (except for metal produced under a JV with Goldcorp), an option to acquire up to 70% of future sulphide projects. Goldcorp will also have the right to nominate a director to Orla’s board, as long as it holds more than 10% of the company’s shares.
Camino Rojo has convenient access to road transportation and power, and as it lies in a historic mining region, skilled labour and contractors are readily available. Camino Rojo consists of a near-surface oxide gold and silver deposit and a deeper sulphide zone containing gold, silver, zinc and lead mineralization.
Orla also holds the Cerro Quema gold project in Panama.
For more information, visit: www.orlamining.com