Marjan Precious and Base Metals Project
(Alara - 50%, United Arabian Mining Company (Manajem) – 50%, of “Marjan Mining Company LLC” (MMC) (to be incorporated))
The Marjan Project comprises three Exploration Licences that have a combined area of approximately 260km2. The Project is located approximately 30km south south-west of Alara's flagship Khnaiguiyah Zinc Copper Project.
A summary of the Marjan Project is as follows:
- Predominantly gold prospect with associated silver, zinc and copper
- Historical drilling in the Marjan Project area has returned values up to 7g/t Au, 31.3 g/t Ag, 4.7% Zn, and 1.6% Pb over 3m
- Grab samples from the Marjan Project area have returned values of up to 0.7% Cu, 22.4% Zn, 100g/t Ag , 2.18g/t Au and 5.4% Pb
Alara has undertaken mapping and preliminary reconnaissance drilling in high priority areas targeting gold, silver and zinc mineralisation. Assay results confirm previously identified and drilled mineralisation.
The key terms of the joint venture shareholders agreement (dated 17 April 2011) executed with the same Khnaiguiyah Project vendor, Manajem, are outlined in an Alara market announcement dated 18 April 2011 and entitled "Acquisition of Interest in Marjan Project in Saudi Arabia."
The shareholders' agreement is subject to conditions precedent (to be satisfied or waived by Alara), including, amongst other matters, the incorporation and registration of a new joint venture company ("Marjan Mining Company LLC") (currently pending completion) and the execution of ancillary agreements arising therein (currently pending execution upon the incorporation of MMC).
Marjan Precious and Base Metals Project Licence Areas:
