South American project Canada’s Lumina Gold has signed a non-binding letter of intent for a $57 million earn-in and joint venture agreement with Anglo American’s subsidiary to develop the Pegasus A and B concessions in Ecuador.
"Anglo American, through a joint venture company, would have the right to earn a 60% ownership interest in the Properties if it invests an aggregate amount of US$50 million and makes US$7.3 million of cash payments to Lumina over a seven year period," Lumina Gold said in a statement.
The company says it will work with Anglo American to negotiate and complete a binding agreement over the next five months.
Listed on the Toronto Stock Exchange (TSX), Lumina Gold says it is a Vancouver-based precious and base metals exploration and devel-opment company, focused on gold and copper projects.