Vancouver-based Darien Resource Development (TSXV: DRR), which will soon change its name to New Energy Metals Corp., announced today that has entered into an agreement with Artemis Mining to acquire a 100% interest in the Cristal project located in northern Chile.
In detail, the mining site is located along the West Fissure, near the border with Peru, which hosts to the majority of Chile's large porphyry copper deposits including the Escondida, Collahuasi, Ujina and Quebrada Blanca porphyry copper mines.
Northwest of the project area, the Incapuquio fault system in Peru hosts additional significant porphyry copper deposits similar to those of northern Chile. According to Darien, the West Fissure and the Incapuquio fault system are projected to intersect near the Cristal site and provide a geologic environment favorable for the occurrence of buried porphyry deposits.
"The Cristal project is highly prospective for the discovery of a buried porphyry copper deposit in a region and geologic setting well known for hosting some of the world's most prolific copper mines. The company is now well capitalized to initiate exploration of the Cristal project, and continue to pursue other attractive opportunities in strategic commodities. Darien intends to further focus on opportunities in Chile," President and CEO, Grant Ewing, said in a press release.
The first step Darien is going to take is to explore the area where a large geophysical anomaly was identified by previous exploration activities carried out from 2012 to 2014 by BHP Billiton (ASX, NYSE:BHP) (LON:BLT). "The anomaly, which measures several kilometers across, shows a weak magnetic high surrounded by a magnetic low, and could potentially represent a buried porphyry copper deposit. A coincident northwest trending gravity high could represent a topographic high within a potential porphyry copper system," the company explained in the media statement.
This proposed exploration program will involve a drilling campaign of 4-6 holes to test the principal target, for a total budget of up to $1.5 million.