Atex Resources has signed an agreement to acquire the Valeriano copper and gold property, which spans 3,705 hectares located in the northern part of the El Indio belt in Chile. The Vancouver-based miner said Valeriano’s concessions overlap a large porphyry system with copper, gold and molybdenum that has only been partially tested by three diamond drilling completed in 2013 by Hochschild Mining.

According to Atex, information revealed that two of the drilling holes intersected with a potassium altered granodiorite porphyry, including the VAL13-14, a 1,194-meter-deep drilling hole containing 0.52% copper, 0.24 grams per ton of gold and 36 parts per million molybdenum.

Hansen said Atex has committed to investing $15 million in the project over a four-year period. At least 8,000 m must be drilled in the first two years.

The Canadian company also has to pay $12 million over four years to acquire 100% of Valeriano’s concessions, currently owned by Sociedad Contractual Minera Valleno, an independent Chilean corporation.