Latin Metals has signed a definitive option agreement with Golden Arrow Resources to acquire up to 100% of the Huachi copper-gold project in Argentina. The deal includes staged exploration spending and payments. Huachi lies adjacent to Latin Metals’ Esperanza project, offering potential mineralization continuity and strong exploration synergies.
Latin Metals Inc. has officially signed a definitive option agreement with Golden Arrow Resources Corp. for the potential acquisition of up to 100% ownership in the Huachi property. This copper-gold project spans approximately 3,500 hectares and is situated in San Juan Province, Argentina. Strategically, Huachi is directly adjacent to Latin Metals’ Esperanza project, offering promising exploration synergies.
Under the terms of the agreement, Latin Metals is granted the right to earn an initial 75% interest in the Huachi property. To do so, the company must complete a total of US$1,000,000 in exploration work and make US$1,000,000 in cash payments to Golden Arrow. These commitments are spread over a four-year period. Following this earn-in phase, Latin Metals can choose to acquire the remaining 25% interest—achieving full ownership—by making an additional US$2,000,000 cash payment to Golden Arrow. This “Top-Up Right” must be exercised within 90 days of earning the initial 75% stake.
If Latin Metals decides not to exercise its right to acquire the remaining 25%, the companies will form a joint venture. In this structure, Latin Metals will hold 75%, while Golden Arrow retains a 25% stake. Each party will be responsible for funding their proportional share of any subsequent expenditures. Should a party’s ownership interest fall below 15% due to dilution, it will automatically be converted into a 1% net smelter return (NSR) royalty.
It is important to note that both cash payments and exploration commitments will begin only after receiving approval of the environmental permit, known as the Declaración de Impacto Ambiental (DIA). This permit marks the commencement date for exploration, including drilling activities.
The Huachi property lies adjacent to Latin Metals’ Esperanza project, which is already known for its promising copper-gold porphyry system. Esperanza features a defined pyrite halo measuring 1,400 meters by 850 meters on the surface. Past drilling campaigns by Latin Metals have yielded impressive results, including a 387-meter intercept grading 0.57% copper and 0.27 g/t gold, with a higher-grade section of 166 meters grading 0.84% copper and 0.37 g/t gold from surface. The mineralization at Esperanza remains open in all directions, with geophysical and geological data indicating it could extend westward toward the newly acquired Huachi property.
Previously, Latin Metals had entered into an option agreement with Atlantic Metals Limited, a wholly owned subsidiary of Moxico Resources plc. That deal, signed on October 7, 2024, involved both the Esperanza and Huachi projects. Moxico Resources is a privately held copper company with active operations in Zambia and Saudi Arabia.
