SPAH, through its principal operator, Western American Mining Corp.of Austin, Texas, has entered into a partnership agreement with MundiRoyal SAC of Lima Peru.
In addition to administering the expatriation of revenue from the Pataz region in La Libradad, Peru MundiRoyal will manage the mining contracts with the concession holders on two separate projects with similar terms of 50% of the production going to Spectrum Acquisition Holdings SPAH.
Spectrum Acquisition has acquired a 50% interest in two Peruvian Gold Production Mining Acquisitions located in the World Renowned Pataz "Gold" Region. The Pataz province forms the central part of a 160-km-long gold belt extending along the Eastern Andean Cordillera in northern Peruand has produced a total of 6 million ounces of gold fromvein-type deposits during the last 100 years.
One concession is a production restart and the second is a low risk exploration project with exposed high-grade veins on the surface.
Until the 1980’s, the existing mine had produced hundreds of thousands of 80% fine gold ounces from veins averaging one meter wide with grade between 5 and 8 grams per ton.
Production ended in the 1980s being that it was not as profitable in a $300 gold market as mining cost rose above $200 an ounce.
With Gold well above $1,110 per ounce it makes this a potential lucrative acquisition. Peru still has near the lowest mining costs in the world and is expected to restart having production costs around $250 per ounce. Spectrum feels this is a lucrative acquisition and opportunity for the company with slight risk because this is a producing mine (not a development mine) so there is low development risk.
Being a restart and producing mine, there should be production and revenues flowing soon after the restart of he mine.
Both projects have processing costs contracted at a flat rate of $250 per ounce. Mineralization is typical of the Pataz geological complexion with the gold being associated with sulfides in quartz at the present penetration of just over 1km.
Infrastructure includes level tunneling on multiple levels with ore shoots, a railway present and industrial power on site with maintained roads.
Information on the Mine: “Americano Norte”
The name of the mine is "North American", which is located on the district of Pataz in the area of La Libridad, Peru. The geological formation is known as the PatazBatholith. This gold belt hosts the world's richest gold deposit at Cajamarca where the US owned Yanacocha mine has produced over US$7 billion in gold.
Spectrum’s "North American" mine includes a gallery of quartz veins some as wide as 3 meters across, which has continuous production since the 15th century.
