Gold miner gains option to acquire Nicaragua property interest

In breaking news Tuesday, Vancouver-based Calibre Mining Corp. (TSX: V.CXB) announced that B2Gold Corp. (TSX: T.BTO) has executed a letter of intent with Calibre for an option to acquire up to a 65% interest in the NEN Gold-Copper property in Nicaragua.

The company says B2Gold will be entitled to acquire a 51% interest in the NEN Property by spending C$8 million on exploration and other work by July 1, 2012, and will have the option to acquire an additional 14% interest in a selected project area within the NEN property by completing a preliminary feasibility study.

Calibre says it will be operator of the work program in the first year of the agreement, and B2Gold will have an option to assume operatorship afterwards.

Calibre announced last month that it had executed a letter of intent with Yamana Gold for the purchase of an undivided 100% interest in the NEN project, which includes 70,976 hectares of contiguous mining and exploration concessions covering the Siuna-Rosita-Bonanza areas of northeast Nicaragua.

“We are delighted not only to have secured a commanding land position in one of the most prolific gold producing districts in Central America but also to have attracted a partner like B2Gold that has a significant exploration and development success track record. Nicaragua is a mine-friendly jurisdiction and, once the purchase from Yamana is completed, Calibre and B2Gold are planning an aggressive exploration program to advance the numerous high priority precious and base metal targets on the property,” says Robert Brown, president and CEO of Calibre.

Shares of Calibre Mining were up 7% to 15 cents Tuesday, while B2Gold shares gained 1.3%.