Arco Signs 10 Year Access Agreement at Tres Hermanas Property in Oaxaca, Mexico
January 18 2011 - 8:00AM
Marketwired
Arco Resources Corp. (TSX VENTURE: ARR) ("Arco" or the "Company")
announces that its Mexican subsidiary, Arco Exploraciones S.A. de
C.V. ("Arco Mexico"), has signed a ten year development access
agreement with the community of San Sebastian Rio Dulce ("Rio
Dulce") for Arco's Tres Hermanas claims package. Rio Dulce approved
the execution of this agreement under the articles of the National
Agrarian Registry in Mexico. The claims included under the
agreement are the Tres Hermanas 1 and 2 claims and the Khulan claim
totaling 3671 hectares, all 100% staked and owned by Arco Mexico.
Under this agreement, Arco will receive access to communal lands to
allow exploration, drilling and mining exploitation in the Rio
Dulce jurisdiction according to the laws of the Federal Government.
"This is a precedent-setting agreement for the future of mining
in Oaxaca," said Arco's President Warren McIntyre. "It is key to
the future success of all of our exploration efforts in Oaxaca.
While we had prioritized our projects based on infrastructure and
potential, we needed long-term access in order to realize on our
investment at Tres Hermanas thus far. This agreement fulfills that
need and is a win-win agreement for both Arco and the community of
Rio Dulce. Over the term of the agreement, Arco has committed to
environmental-impact studies, providing medical and dental services
for the local community, funding of a pharmacy and ambulance
service, the extension and reconstruction of existing classrooms,
and the installation of communication antennas. We have also
committed to the hiring of personnel from Rio Dulce for our
exploration efforts, and the purchase of forest products from the
community. We will provide up to MXP500,000 (approx. US$40,000)
over the next few years for the construction of the community
church. Additionally, a committee will be formed to facilitate the
disposition of all funds and to ensure that the commitments on both
sides are followed."
"Arco's community relations team worked for over 18 months to
realize this agreement and it represents a real success story,"
McIntyre added, acknowledging the skill and effort put forth by
Arco's team of Tito Jimenez and Don Miguel Cormick, under the
leadership and guidance of Juan Lopez, Arco's Country Manger and
Director General.
The Tres Hermanas claims are subject to a Letter of Intent with
Zodiac Capital Ltd., an Australian company, under which Arco will
grant Zodiac the right to acquire up to a 100% interest in these
claims.
About Arco Resources
Arco holds a 100% interest in seven mineral claim blocks, all
located in the State of Oaxaca, Mexico. The Company has begun to
focus its efforts on its Taviche and Predilecta claim blocks, each
of which has had historical production of gold and silver. The
Company currently has agreements in principle to option 100%
interests in its Lachiguiri, Silacayoapan and Nino Perdido
properties (to Silex Ventures Ltd.) and in its Tres Hermanas
property (to Zodiac Capital Ltd.). For further information on the
Company please go to www.arcoresources.com. Follow Arco on
Facebook.
On behalf of the Board of Directors of Arco Resources Corp.
Warren McIntyre, President and Chief Executive Officer
Arco Resources Corp.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: Arco Resources Corp. Warren McIntyre President and
Chief Executive Officer 604 639 2866 604 662 3904 (FAX)
www.Arcoresources.com