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Investing.com -- Erdene Resource is set to acquire up to 80% ownership interest in the Tereg Uul copper-gold porphyry prospect in Mongolia.
The Tereg Uul prospect is located approximately 10 kilometers southwest of the Oyu Tolgoi deposit. Under the agreement, Erdene will commit to $3 million in exploration expenditures.
The company may acquire the interest in private Mongolian company Tereg Uul Mines LLC through a series of exploration and payment milestones. To reach the full 80% equity ownership stake, Erdene must invest a further $10 million in exploration and evaluation expenditures, and make an additional payment of $8 million to the option grantor.
These conditions must be met on or before the eighth anniversary of the agreement.
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