Angkor Gold Corp has entered into a Joint Exploration Agreement with Japan Oil, Gas and Metals National Corporation (JOGMEC) to explore Angkor’s Oyadao South licence in the Kingdom of Cambodia.
The agreement gives JOGMEC the option right to acquire 51% of the licence for a total investment of US$3 million in exploration expenditures over a three year period. The agreement will be executed after necessary procedure according to the Cambodian related regulation.
JOGMEC’s mandate is to invest in early-stage exploration projects around the world to secure viable future natural resources for Japan’s growing economy.
“We have worked tirelessly to secure the most appropriate partner to bring this copper/gold/moly porphyry prospect on Oyadao forward,” said Angkor Gold’s president and CEO Mike Weeks.
“JOGMEC’s reputation is second to none. We are keen to work with them and to further identify and explore additional targets. JOGMEC illustrates great confidence by assigning Angkor as operator; we will combine the best expertise from both teams to fast-track this project.”
“This news is particularly gratifying to me,” said Angkor’s former VP of geology Dr Adrian Mann. “Seven years ago, when Mike Weeks and I first started exploration in Cambodia, this was the vision we saw. The country was then (and still is) obviously under-explored; and, despite being contrary to conventional wisdom, we could see that there was every potential for a major mineral occurrence on the ground Angkor Gold then acquired.
“That this view is now shared by a serious, major international mining investor like JOGMEC is vindication of that faith. It is also a testament to the years of hard grinding work put in by the field staff of Angkor Gold, to their loyalty to the vision, and to the incredible tenacity and ingenuity displayed by that team.”
After JOGMEC acquires an indirect initial 51% interest in Oyadao South JOGMEC and Angkor will then fund project expenditures on a pro-rata basis.
“The Halo Prospect, within Oyadao South, is a very large copper/gold/molybdenum hydrothermal porphyry system and is the cornerstone of Angkor’s top prospects,” said Angkor’s VP of operations JP Dau. “Working alongside JOGMEC’s geological team, we will grow exceptional value from the Oyadao South licence and this partnership. We continue to work towards building a suite of long-term revenue streams for the company.”
"The announcement ensures that Angkor’s project generation model continues to expand as JOGMEC is keen to look at other potential opportunities alongside Angkor that may be present in Cambodia,” said Mike Weeks.
“In addition, Angkor’s management has been working in concert with MESCO Gold to finalize the issuance of MESCO’s mining licence for the Phum Syarung mine, a milestone for the entire mineral sector of Cambodia.
“MESCO has shown that Cambodia has the makings of a viable, world-class mining sector, and there are many serious players looking in from the sidelines,” he said.