Australia-based gold major Newcrest Mining has expressed an interest in farming into the Gorbea projects, in Chile, which fellow major Yamana Gold previously explored in a joint venture (JV) with Mirasol Mining.

Newcrest, which is already participating in other JVs with Mirasol, has signed a heads of agreement for an option to farm-in on the Gorbea high-sulphidation epithermal projects, subject to a due diligence review and the parties executing a formal option agreement by January 15.

Ultimately, Newcrest will have the right to acquire, in multiple stages, up to 75% of the Gorbea project by completing a series of exploration and development milestones. Mirasol said on Monday that Newcrest had committed to spend at least $4-million and to complete a minimum of 3 000 m of drilling over an initial 18-month period.

However, Newcrest has terminated its February 2018 option to farm-in on the Zeus gold project, in Chile, where it had to spend $1.5-million in the first 18-month exploration programme. Mirasol said that the balance of the minimum commitment for Zeus that had not been incurred would be applied towards the $4-million initial commitment for the Gorbea project. Newcrest would also have to pay a $200 000 early termination fee.

Yamana terminated the Gorbea JV agreement in April this year, and has spent more than $8-million during the time that it was exploring the package of projects totalling 26 684 ha, in northern Chile.

Meanwhile, in a separate development, Newcrest signed an option and farm-in agreement for Cornerstone Capital Resources’ Miocene properties, also in Chile, targeting epithermal gold/silver and porphyry gold/copper deposits.

Newcrest has an option to earn up to 75% in the project in several stages.

Cornerstone pointed out in a news release that it had several drill-ready properties available for option in Ecuador and noted that Newcrest was actively exploring in that country.