Altan Rio Minerals Limited (AMO.V) has executed a Definitive Agreement for it to acquire a 100% interest in the Khavchuu gold project in northern Mongolia, subject to a 2.105% NSR royalty. The Agreement, dated August 17th, 2012, supersedes the former Heads of Agreement, dated April 4th, 2011.

Under the terms of the Agreement, Altan Rio will make cash payments totaling US$75,000 (of which $60,000 has been paid and $15,000 is payable on or before the date that is 30 months from May 3rd, 2011, issue 760,000 common shares and make a final payment of either US$285,000 or the equivalent in common shares on or before the date that is 30 months from the Commencement Date. In addition, US$300,000 in cumulative property expenditures must be incurred within 24 months of the Commencement Date.
Khavchuu, which covers an area of 71.4 sq km, is an early-stage exploration project located 10 km west of Centerra Gold”s Boroo mine and mill complex (~2 Moz resource base, most of which has since been extracted). Recent Phase 1 drilling intersected high grade gold (up to 11.49 g/t over 1 m).

Altan is trading at a yr low.