IG Asia is focused on world class opportunities in the mineral-rich countries of Kazakhstan and Mongolia
Copper oxide mineralization in weathered granite. (Credit: IG Global Group)
IG ASIA LLC (“IG Asia” or the “Company”), a private Nevis based company, is pleased to announce it has entered into a conditional agreement with Rio Tinto International Holdings Limited (the “Vendor”) to acquire its 75% ownership interest in the Pribrezhniy porphyry copper deposit (>1Mt contained copper) and five additional underexplored prospect areas located in the most prolific porphyry belt in the Republic of Kazakhstan (the “Project”, Figure 1) (the “Transaction”). On completion of the Transaction, IG Asia will acquire 75% of the Project which has a scoping level engineering analysis performed by Rio Tinto Exploration Kazakhstan. The remaining 25% of the joint venture is owned by KazGeology, a Kazakhstan state geological resources entity. Ongoing exploration work has demonstrated significant potential for expansion and further discovery.
TRANSACTION HIGHLIGHTS
Transaction supports IG Asia’s path toward becoming a leading regional copper explorer and developer
This asset is a flagship project for IG Asia alongside its TN5 project in Mongolia. TN5 is located between world class Oyu Tolgoi and Kharmagtai deposits of Rio Tinto and Xanadu Mines where the target is a large Tier 1 copper-gold-molybdenum porphyry.
The Company is proposing technical work at Pribrezhniy with the objective of further increasing upside in the project through a combination of increased mineral inventory and optimized processing.
Pribrezhniy is ideally located within an established mining district
The Project is located in the most prolific porphyry belt in the Republic of Kazakhstan containing several commercial discoveries such as the Aktogay (2.2Bt @ 0.37% Cu), Taysogan, Sayak and Kounrad deposits.
Located at the eastern end of the Kounrad group of copper deposits it boasts excellent mining infrastructure with access to power, water, a dual line railway and smelter in the district.
The Project license area covers 832km2 of exploration ground with the exploration stage of the license being valid until February 2029 to produce a feasibility study on Pribrezhniy and advance two additional prospects within the license.
Transaction terms are focused squarely on the path to project and mine development
Upon completion of the Transaction, the Company shall pay the Vendor USD 2.23M primarily for reimbursement of exploration work performed in 2023.
Additional expenditures of USD 11M to reach a prefeasibility level project by 2029.
An additional one-time payment of USD 20M and a NSR royalty are due to the Vendor upon reaching certain nameplate production milestones.
Richard Leveille, former VP Exploration for Freeport McMoran and Director and Chief Copper Consultant for IG Asia commented, ” The Pribrezhniy acquisition represents a unique opportunity for IG Asia to leapfrog from a greenfields explorer to having a scoping-level project near excellent infrastructure in a favorable mining-friendly jurisdiction.
Thomas E. Bowens, founder and Executive Director of IG Asia states, “The acquisition of the Pribrezhniy deposit is a major development for IG Global and our IG Asia subsidiary. In just over two years our team has advanced IG Asia from a green fields exploration company to a multi tiered exploration and development company. The Pribrezhniy acquisition provides IGA with an advanced copper molybdenum porphyry deposit that has undergone a successful scoping study indicating robust economics. This acquisition provides a major step forward for the company and adds substantial value to our current portfolio of copper, gold and lithium brine projects underway in Kazakhstan and Mongolia. I am very proud of our outstanding IG Asia team. IG Asia is well underway to becoming a major force in the mineral exploration and mining industry in Central Asia.”
Source: Company Press Release