Miranda Gold Corp. (TSXV:MAD) announced that its 100-percent-owned Colombian subsidiary will form a strategic alliance with Agnico-Eagle Mines Ltd. (TSX:AEM). The companies have signed a non-binding Letter of Intent and plan to explore for precious metals in central Colombia.
As quoted in the press release:
Under the terms of the LOI, Agnico and Miranda share 70:30, respectively, in generative exploration expenditures with exploration activities conducted by Miranda. The alliance is for a period of three years and is renewable thereafter by mutual consent. The exploration program budget will be an aggregate amount of no less than US$1,000,000 per year.
Within the last several years Colombia has produced a very high rate of plus-million ounce gold discoveries by a relatively small group of active companies. The Agnico partnership will allow Miranda to be more aggressive in Colombia while maintaining an aggressive exploration program in Nevada.