Ormonde confirms Antofagasta as La Zarza partner

27th Oct 2009 07:37

Ormonde Mining has confirmed Antofagasta as the previously unidentified joint venture partner for its La Zarza ground holdings in the Huelva Province of southern Spain.The Irish explorer said the copper giant, which has huge interests in Chile, will extend the previous exploration by Ormonde to cover the entire extent of the 3km long La Zarza massive sulphide deposit.Antofagasta has the right to earn a 51% interest in La Zarza over three years by spending $7m, at least $1m of which should be in the first year. If it completes a feasibility study on a mining project that meets its investment criteria, Antofagasta could raise its stake in the Spanish copper project to 75%.Initial work in the La Zarza joint venture will begin immediately to refine target selection for a follow-up drilling programme scheduled for the New Year."Ormonde has previously concentrated its endeavours on the area of higher grade copper-gold mineralisation located within the eastern end of the much larger La Zarza massive sulphide deposit," said Ormonde's managing director Kerr Anderson."However, there are several exploration targets with significant potential for additional copper mineralisation within this massive sulphide body, and we very much look forward to seeing exploration drilling resuming at La Zarza."