Bluebird Mining Ventures (LSE:BMV) has secured an exclusive 120-day option to acquire 100% of El Alamo Resources, owner of the Santa Teresa Gold Project in Baja California, Mexico.
The project carries an existing NI 43-101 inferred mineral resource of 230,000 tonnes grading 8.7 g/t gold, containing 64,000 ounces, using a 4.0 g/t cut-off with grades capped at 20 g/t. An uncapped calculation from the same resource model points to 282,000 ounces at 38.2 g/t gold, a figure BMV stresses is not a reportable resource but illustrates the deposit's variability.
BMV will pay £75,000 for the option, with £250,000 in shares due on completion.
Further consideration, rising to a total acquisition cost of £3 million, only becomes payable if independently verified resources reach 250,000 ounces, 500,000 ounces and eventually 1 million ounces.
The seller retains a 1% net smelter return royalty.
The deal follows January's appointment of Paul Ray, chief executive of Raptor Capital International, to BMV's board advisory committee, and Santa Teresa is the first project to emerge from that tie-up. Ray is also EARL's sole director and seller, and has recused himself from BMV's evaluation of the transaction.
Subject to completion, he is expected to lead the project, focusing on consolidating adjoining concessions and advancing exploration.
"We are acquiring an interest in an established high-grade gold resource, with substantial historic investment and exploration already completed, while structuring the majority of the acquisition consideration around independently verified resource growth," said Sath Ganesarajah, BMV's chief executive.
The move follows BMV's recent disposal of its Asian gold assets, where the company saw no clear near-term route to cash flow.
News Intelligence what this means for the company
BMV has secured a 120-day exclusive option on Santa Teresa, a Mexican gold project with an inferred resource of 64,000 ounces at 8.7 g/t, paying £75,000 upfront and £250,000 in shares on completion. The deal is structured to defer most cost—rising to £3 million total—until independently verified resources hit 250,000, 500,000, and 1 million ounces, shifting exploration risk onto BMV's balance sheet. This follows the company's September 2026 exit from South Korean assets and represents a geographic pivot toward Mexico, though the project remains early-stage and unproven at scale.
BMV is trading exploration upside for near-term cash outlay: the £325,000 immediate commitment is modest against a junior explorer's typical burn, but the £3 million contingent liability ties future capital to resource growth that remains unverified. The deal's success hinges on whether Santa Teresa's high-grade core (8.7 g/t) extends to the 250,000+ ounce threshold.
Insights assembled by AI. Editor-reviewed and grounded in tickstock’s coverage and proprietary knowledge graph.
Content is for informational purposes only, not financial advice.
