Dana Resources, a precious and base metal exploration and development company, announced today that it has successfully acquired the Collota One Gold Prospect in central Peru.
The company announced earlier that it had acquired the nearby Collota Gold Project. The combined land holdings of Dana Resources’ Collota Gold Deposit and Collota One Gold Prospect now surpass 8,000 acres. The Collota One Gold Prospect is located in central Peru, on the eastern side of the Cordillera Negra (Black Range Mountains). The project is accessible via paved and gravel roads.
The previously announced Collota Gold Project is estimated to have a reserve of 1,170,000 ounces of gold, equivalent to a current gross value in excess of $1 Billion. The addition of the Collota One Prospect allows Dana Resources to substantially increase the size of the existing deposit to be processed in the mine. Dana Resources plans to mine the Collota Gold Deposit and adjacent holdings as an open-pit mine to a maximum depth of 50m. Dana Resources continues to estimate operation costs of approximately $400 per ounce.
The Board of Directors commented on the combined acquisitions. “This acquisition almost doubles our land holdings surrounding our 1.1 million ounce gold deposit. This strategic land acquisition further enhances our existing gold deposit. Shareholders can be proud that Dana Resources’ presence in Peru is growing in the right areas. Plans for production at the Collota Gold Deposit will be announced soon.”
Peru has some of the richest deposits in the world, holding approximately 16% of the worldâ€™s known mineral reserves. It is already one of the highest producing countries of precious and base metals in all of Latin America, and modern equipment and technologies are now making previously inaccessible regions available. Dana Resources has a number of other properties throughout Peru, totaling over 24,000 acres.