Titan Minerals (ASX: TTM) has announced that it has been reinstated by the Ecuadorian Ministry of Mines as owner of the of the Jerusalen Concession (Jerusalem Gold Project).

The Jerusalem project is an excellent addition to TTM’s existing resource base.

The new project has an existing foreign resource estimation of 1.28moz gold averaging 14.5g/t and 8.6moz silver averaging 98g/t.

While not a JORC-compliant resource, the company believes the foreign estimate is sufficiently reliable due to acceptable estimation methodologies and data compilation.

The company stated this had provided the basis for a decision to deem the property to have merit for further exploration expenditure but is not of a quality to underpin any economic reviews.

Therefore, Titan confirmed the categories of the mineralisation reported under NI 43-101 are similar to the JORC Code (2012) classifications.

Additionally, Titan considers the foreign estimate to be material to Titan, providing a basis to contribute funding for continued exploration activity and advancement of Jerusalem through additional desktop studies for the purpose of data validation and ranking of targets within the project area.

Prior to today’s news, TTM already had a 2.1moz resource, averaging 4.5g/tonne gold resource inventory at its Dynasty Project.

With today’s addition, its resource base has jumped 64%.

Importantly, this is not an acquisition by TTM.

The project has been reinstated to the company, meaning there is no dilution of equity.

Significantly, this project is located between the Fruta del Norte deposit, just 40km to the north, and the contiguous land holding of Luminex Resources’ Condor Project.

Fruta del Norte, operated by the $2.4b-capped Lundin Gold (TSX: LUG), is a world-class producing gold mine and holds the most valuable greenfields gold discovery of the last 15 years.

Luminex Resources’ Condor project to the south hosts a 5moz resource.

The new project consists of numerous high-grade targets, which have been identified but are yet to be explored.

Furthermore, the system remains open to the north and at depth.

The Jerusalem concession was formally validated and registered late last week, finally ratifying a succession of developments that occurred when the area was the subject of artisanal mining, during which time the government declared a force majeure.

The Jerusalem Project complements TTM’s flagship Dynasty Gold Project in Ecuador, where the company is focused on expanding the existing 2.1moz foreign resource estimate averaging 4.5g/t gold into a much bigger JORC resource by the end of the year.

The company commenced a significant drilling campaign in the third quarter of 2020 to do this.

Furthermore, assay results in July for diamond drilling completed at the Dynasty Gold Project support an emerging large-scale gold system.

They also extend known mineralisation that remains open in multiple directions and at depth.

The flagship Dynasty Gold Project is located in the underexplored Loja Province of Ecuador.

Dynasty is close to existing infrastructure, has strong local support and the company is fully permitted to begin work there.

Titan has two other projects of note.

The Copper Duke project is a multi-phase, outcropping, gold rich porphyry copper project, exhibiting several encouraging characteristics.

The second is the Lindero gold project, where a recent high-grade gold discovery was made.

The three projects can be seen on the following map with both Dynasty and Copper Duke lying to the west of the Jerusalem project.

Titan’s share price has continued to grow this year, reaching a high of 17c from just 4.8c in April.

While the company is now back at 13.5c, the addition of the Jersualem Project should act as a further catalyst for continued growth into the last few months of 2020.

By Jonathan Jackson

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