Resource World Magazine

O C T O B E R / N O V E M B E R 2 0 1 8 www.resourceworld.com 57 INVESTMENT and Metals National Group (JOGMEC) had signed an earn-in agreement on the four Mundoro exploration licenses – Dubrava, Padina, Borsko Jezero and Zeleznik – that make up part of the 148 km 2 Timok North Project. JOGMEC will spend US $4 million in return for a 51% interest over three years. After an additional five years, JOGMEC can earn another 24% by fully funding a feasibility study. Investors should watch for the results from the 5,000 metres of drilling on the Borsko Jezero license to be released in November. In July 2018, Mundoro also struck an earn-in deal with an exploration sub - sidiary of Freeport-McMoRan Inc. [FCX-NYSE] on Mundoro's Savinac and Bacevica exploration licenses, two of the four licenses that make up the 400-km 2 Timok South Project. Freeport can spend US $5 million over three years to earn 51% and after spending an additional US $40 million within the following five years can earn up to 75% of the project. A field pro - gram is planned for later this year. Mundoro is doing some ground geo- physics on their own this year to identify potential drill targets on its Sumrakovac and Osnic licenses, the remaining two licenses that make up the Timok South Project. The goal is to attract further part - ners to fund more exploration. Mundoro has continued its earn-in model with a private mining company on its Sage Project in southeastern Bulgaria, also on the Tethyan Belt, where 1,000 metres of drilling is underway. Drill results are expected in October. From a jurisdictional point of view, this time Dechev is confident. "The risks of working in Serbia are low and I liken it to the Nordic countries where they are open for mining business," says Dechev. This has been amplified by the recent announcement by the Serbian govern - ment they have selected Zijin as the tender winner for the state-run miner, RTB Bor Group, around which Mundoro's Timok land package is partially located. As for Bulgaria, "The country is a mem - ber of the European Union since 2007 which provides for further legal frame- work," says Dechev. Mundoro may have a long way to go before they have defined resources but this is the type of exploration company high-risk investors will keep their eyes on. With the earn-in model where miners can earn-into Mundoro's projects, Mundoro has three parallel programs on the go – all which will generate news flow and outline the mineral potential of the projects. "We are trying to provide investors with a platform – a company with a well- positioned land package, strong earn-in arrangements with miners, in good juris - dictions with existing infrastructure. And, most importantly, the team has a track record of execution on their programs and has participated in discoveries on the Tethyan Belt," says Dechev. n

• Cover