New World Obtains Option for Acquisition of Pinafore Copper Deposit in the US

New World Resources has recently secured a significant five-year option to acquire full ownership of the Pinafore Copper Deposit, located in northern Arizona, US. This strategic move, facilitated through an option agreement with Jacobsons Mining, is poised to augment New World's copper portfolio within the region. Spanning an expansive 134 acres, the Pinafore Copper Deposit is characterized as a proterozoic-aged volcanogenic massive sulphide (VMS) deposit, sharing geological similarities with New World's Antler copper deposit situated approximately 75km to the northwest.

Historical data reveals that past production activities at Pinafore yielded around 10,000 tonnes, showcasing notable concentrations of copper at 5% and zinc at 11%. As part of the option agreement, New World initiated the transaction with an initial payment of $300,000 to Jacobsons Mining upon deal execution. To sustain the option, New World is obligated to make five annual payments of $850,000 to Jacobsons. Throughout the option period, New World enjoys exclusive exploration rights at Pinafore, encompassing all associated expenses from funding and planning to permitting, implementation, and reclamation of work programs.

Noteworthy within the option agreement terms is New World's ability to secure full ownership of the Pinafore deposit at any juncture during the option period. To exercise this option, New World must remit $2.5 million to Jacobsons and agree to a 2.5% royalty on all future production emanating from the deposit.

Mike Haynes, Managing Director of New World, expressed enthusiasm regarding the acquisition opportunity, emphasizing the strategic proximity of the Pinafore Copper Deposit to the company's flagship Antler Copper Deposit. Haynes stated, "We are very pleased to have secured the right to acquire 100% of the very high-grade Pinafore Copper Deposit, which is located only 75km from our flagship high-grade Antler Copper Deposit in northern Arizona."

Highlighting the significance of this acquisition within New World's expansion strategy, Haynes added, "This is another positive step in our strategy to expand our high-grade resource base. We anticipate that a larger resource base will significantly improve the strong economic potential of developing the Antler VMS Deposit.."

Moreover, Haynes expressed optimism regarding the exploration potential at Pinafore, citing the limited drilling history of only nine holes and the fact that mineralization remains open in all directions. He concluded, "We are highly encouraged by the fact that only nine holes have been drilled at Pinafore to date, with mineralization remaining open in all directions. As a result, we are confident that further drilling at Pinafore will allow us to expand our resource base."