Issue link: http://resourceworld.uberflip.com/i/107613
m i n in g Tirex Resources – Mining what could be the world's next great VHMS discovery in Albania by Brandon Larson As a wholly owned subsidiary of Tirex Resources Sh.p.k (Albania), Tirex Resources Ltd. [TXX-TSXV] was incorporated for the sole purpose of exploring and developing their 553 km2 Mirdita property in Albania. Tirex performed the first airborne geophysical survey in the history of Albania in early 2007 when they produced a 2,520 km survey. By identifying electromagnetic anomalies, the company was able to outline volcanogenic massive sulphide (VHMS) exploration targets. The NI 43-101 compliant report led Tirex to commence a drilling program on four separate copper-zinc-gold-silver deposits. During the period ended October 31, 2012, Tirex received notification from Albania's Ministry of Economy, Trade and Energy that its application had been approved to transfer six specific areas within the Mirdita VMS district from exploration licenses into 25-year mining licenses. A letter from Tirex stated that "after five years, more than $25 million invested in successful exploration, and with zero corresponding shareholder dilution, the company is now set to move from exploration into copper and gold production." In anticipation of this decision, Tirex entered into a partnership agreement with Turkish company Ekin Maden Tic. Ve San. A.S. (Ekin Maden). The 50/50 agreement states that the two companies 44 www.resourceworld.com Location Length (m) Koshaj Koshaj Gurthi South Gurthi South Letitna Copper (%) 65.0 60.4 7.7 19.3 46.0 0.60 1.10 5.23 3.66 0.70 Zinc (%) Silver (g/t)Gold (g/t) 9.0048.4 6.7017.7 1.84 57.0 1.13 8.3 2.6820.8 2.7 1.6 4.6 1.2 1.6 will pool their resources and form a new operating company (OpCo). Structure of the partnership is as follows: Tirex (50%) contributes six known deposits, Erik Maden (50%) contributes Fushe Arre's mill capacity and financing for mine and equipment. The newly formed OpCo will mine and process ore with initial production to consist of copper concentrate and gold with the targeted profit to be split 50/50 by Tirex and Ekin Maden. The mine is approximately 70 km northeast of Tirana, Albania's capital. The mine is also associated with established infrastructure as access is available via paved highway and it is located on an existing power grid that was used during previous mining. Additionally, the mine is a short distance from a local sea port. Assay results were especially good from the Koshaj, South Gurthi No. 2 and Letitna areas, (see table). Modern mining techniques, the discovery of the VMS target along with the approval of mining permits from the Albanian government and the OpCo partnership have all together provided Tirex the opportunity to develop the world's next VHMS deposit. n february 2013