Victoria, British Columbia (FSCwire) - Erin Ventures Inc. [TSXV: EV] (“Erin”) announces the following updates to certain previously announced ongoing activities, regarding its boron assets in Serbia.
Potential Strategic Partner
Further to Erin’s news release dated March 22, 2017, Erin is pleased to report that the potential strategic partner mentioned in that release has now completed an extensive and intensive due diligence assessment of Erin’s Piskanja boron project. This assessment was conducted over the past several months, drawing upon both the potential partner’s internal expertise, as well as that of independent industry experts which they retained to aid in the analysis. The assessment has concluded that Piskanja is a project of merit, leading both Erin and the potential partner to conclude that a working relationship may be of interest, subject to mutually beneficial economic and strategic parameters being agreed upon.
This prospective partner meets Erin's criteria as a suitable partner because of its ability to provide capital required to advance the Piskanja project towards production, as well as mining expertise, and boron-specific expertise (including boron derivatives). Due to the nature of the boron market, Erin believes that its best course of action to effectively penetrate the market in a timely manner while maximizing returns to shareholders, is to secure strategic partners who are well established in various facets of the tightly controlled boron industry - from production, to sales, to the manufacture of boron-derivative products.
Pobrdje Boron Mine Commercial Agreement
Further to Erin’s news release dated February 28, 2017, Erin is pleased to report that progress is being made regarding the consummation of a commercial agreement between Erin and the management of the government-owned Pobrdje Boron Mine, located in close proximity to Erin’s Piskanja project. The terms of the agreement have been agreed upon, subject to formalization of the documentation, and the vetting and final approval by the requisite Serbian authorities.
As previously reported, this transaction would aid in the de-risking of the development of Erin’s Piskanja boron project by generating positive cash flow that could contribute materially towards the capex required to construct a mine at Piskanja, thereby helping to reduce the dilution to Erin’s shareholders. Additionally, the Pobrdje project would be an important pilot project for Erin, allowing for the development of market share, worker training, and the gain of technical expertise in the mining and processing of boron.
Cautionary Note
There can be no assurance given that either of these proposed agreements will be successfully consummated. However, the interested parties understand the benefit to all the various stakeholders involved, and are working earnestly to complete these transactions.
Erin will release further information on these matters if, as, and when binding agreements have been signed.
About Erin Ventures Inc.
Erin Ventures Inc. is an international mineral exploration and development company with boron assets in Serbia and gold assets in North America. Headquartered in Victoria, B.C., Canada, Erin's shares are traded on the TSX Venture Exchange under the symbol "EV". For detailed information please see Erin's website at www.erinventures.com or the Company's filed documents at www.sedar.com.
Piskanja is Erin’s wholly owned high-grade boron deposit with an indicated mineral resource of 7.8 million tonnes (averaging 31 per cent B2O3), and an inferred resource of 3.4 million tonnes (averaging 28.6 per cent B2O3), calculated in accordance with the Canadian Institute of Mining Definition Standards on Mineral Resources and Reserves (CIM Standards).
