Minampro holds the required licences for buying, selling and exporting of industrial sands in the department of Vichada
Auxico Resources Canada has reached a memorandum of understanding (MOU) with the Colombia-based Minampro Asociados, to earn 70% interest in a joint venture (JV) for the tantalum ore from Colombia’s Vichada department.
Minampro holds the required licences for buying, selling and exporting of industrial sands containing various metals, including tantalum and niobium, from the region.
Also, the firm has an exclusive purchase agreement in place for tantalum ore with the indigenous community Guacamayas-Maipore, located in the department of Vichada.
The important properties are located within 100km distance from an airport and are accessible by roads.
In 2019, Auxico had undertaken an exploration and sampling programme on properties located in the area, where an independent geologist Miguel Jaramillo submitted results from the sampling programme.
Results from the sampling programme confirmed the presence of tantalum and niobium, along with several rare earths metals, including ytterbium, hafnium, neodymium, scandium, dysprosium, praseodymium and gadolinium.
Auxico said that that samples from the properties are currently being delivered to different tantalum buyers and the commercial sale to begin within the coming two months.
Auxico to get 70% net profits from joint venture
Under the terms of the MOU, Auxico is required to conduct due diligence within 60 days, following which the firms will enter into a joint venture for the properties in the department of Vichada.
Auxico would have 70% share of the net profits from the joint venture for spending 100% of the capital required for the exploitation of industrial sands, including tantalum ore.
Minampro will retain 30% of the net profits of the joint venture. Auxico will also have an option to purchase 15% of the profit interest of Minampro at a price to be agreed upon.
Established in 2014, Auxico is a Canadian company, engaged in the acquisition, exploration and development of mineral properties in Colombia, Brazil, Mexico and the Democratic Republic of the Congo.