Vancouver, B.C. and Lima, Peru, September 29, 2009. Panoro Minerals Ltd. (TSX Venture Exchange --PML) ("the Company") is pleased to announce that it has entered into an agreement with Strait Gold Corporation (StraitGold) such that Strait Gold may earn up to a 100% interest in its early stage Alicia copper-gold property in SouthernPeru subject to a 2% net smelter return royalty.
Under the terms of the option agreement, Strait Gold can earn a 100% interest by issuing 1,000,000 shares and spending $1.25 million over the three-year term of the agreement. The first 100,000 shares are to be issued upon signing with further payments on the first, second and third anniversary dates with the anniversarydate established as the date a community agreement to allow drilling is reached but not later than 18 months from signing. Panoro will retain a 2% net smelter return royalty, half of which Strait Gold can purchase for a one-time payment of US $2.3 million withinsix months of earning a 100% interest. If Strait Gold does not earn the 100% interest but issues a minimum of 600,000 shares and conducts a minimum of $650,000 of work withintwo years, it will earn a 55% interest.
The Alicia property is one of 14 properties held by the Company. The Company's most advanced properties are the Cotabambas and Antilla projects which are also located within the same prolific Andahuaylas-Yauri porphyry copper belt as Las Bambas (900 million tonnesof0.9% copper), Haquira (686 million tonnes at 0.5% copper),Los Chancas (355 million tonnes at 0.6%copper) and Tintaya (158 million tonnes at 1.2% copper and 0.16 g/t gold) among others.
The Company's Cotabambas and Antilla projects contain a NI 43-101 compliant inferred resourceof:
|Cotabambas||114 Mt @ 0.68% Cu and 0.38 g/t Auat 0.30% Cu cut-off|
|Antilla||154 Mt@ 0.47% Cu and 0.009% Moat 0.25% Cu cut-off|
The Company is in the late stages of evaluating financing alternatives to advancethese projectsto feasibility level.
The completion of the option agreement for its Alicia Property adds anotherproperty from the Company's portfolio to those on the road to development.
On behalf of the Board of
Panoro Minerals Ltd.
Luquman Shaheen, M.B.A., P.Eng., P.E.
President, CEO and Director
Panoro Minerals Ltd. is a Canadian mineral exploration company trading on the TSX Venture Exchange (PML) and on the Frankfurt Stock Exchange (PZM, WKN 914959) and on the Junior Board of the Lima Exchange. Panoro's strategic focus is on exploring for large-potential gold and copper/gold deposits in countries with the corresponding geological potential and where the right political and economic conditions are present. For investor inquiries please call 604-684-4246, e-mail firstname.lastname@example.org or visit the company's website at www.panoro.com This release was prepared by management of the Company which takes full responsibility for its contents. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.