Avanco Resources is set to double the company’s copper gold resources through the acquisition of the Pedra Branca Copper and Gold Project in Brazil's Carajas Mineral Province from Xstrata Copper.

Due diligence carried out by Avanco has confirmed a substantial copper and gold mineral resource at the Pedra Branca deposit of 14.77 million tonnes at 1.3% copper, 0.46 grams per tonne gold and 0.98 gram per tonne silver for 192,000 tonnes of copper, 218,000 ounces of gold and 465,000 ounces of silver.

With the JORC Resource at Avanco’s Rio Verde project which recently tripled to 17.77 million tonnes at 1.17% copper and 0.3 grams per tonne gold for 209,000 tonnes of copper and 171,000 ounces of gold the acquisition will double the company’s Resource base.

Following completion of the transaction, Avanco’s total Resources will be 32.54 million tonnes at 1.23% copper and 0.37 grams per tonne gold for 401,000 tonnes of copper and 389,000 ounces of gold. Significantly, there is potential to increase the Pedra Branca Resource which remains open in all directions.

In consideration for the acquisition of Pedra Branca, Xstrata Copper will take up a 15% interest in Avanco, making it the company’s largest shareholder and a cornerstone investor. In addition, Xstrata Copper will have the right to nominate a representative to the board of Avanco.

(Sourced from www.proactiveinvestors.com.au)