Increasing its exposure to the United States mineral exploration scene, Centurion Minerals has spent $2.2 million(US) to get varying interests in 11 mineral properties held by M. A. Hanna Co. of Cleveland, Ohio.
The properties were acquired by purchasing all the outstanding shares of Siskon Corp. and assets from another wholly-owned subsidiary of Hanna.
Key among the holdings is the Aurora gold mine near Reno, Nev. The mine is leased subject to a 7.5% net smelter royalty or 25% of net profits. Nevada Goldfields expects to produce 20,000 oz gold annually and based on a gold price of $450, Centurion will get royalty payments of around $720,000 a year.
Also included is the Big Horn property near Los Angeles, Calif. Centurion has a 75% interest subject to an option held by Great Pacific Resources to earn a 50% interest in the property. Reserves are 670,000 tons averaging 0.20l oz gold per ton. President David Reesor says a $3-million exploration program is planned in 1988-89 to expand the existing reserves.
A 100% interest in the Iron Creek cobalt-copper-gold prospect located in Idaho is part of the package. Reesor anticipates this can be joint ventured to a major mining company.
Other interests are held in the Humboldt West property in Mineral Cty., Nev., which is leased subject to a 5% net smelter return; the Humboldt Star Light property in Pershing Cty., Nev., (4.5% net smelter return) and the Central Comstock property in Storey Cty., Nev., (2% net smelter return and option payments of $495,000). The deal also covers interests in producing oil wells in Montana, undeveloped oil reserves in California, a 50% interest in a California nickel prosect and a 15% carried interest in a gallium/germanium mine in Utah.
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