Exploration

Eurasian Minerals has royalty properties in Turkey with the long term potential to provide a solid revenue stream from future production. More immediate benefits realized by EMX through the sale or lease of a property typically includes cash, advance royalty payments and commitments to further advance the project.

Turkey - Balya Royalty Property

The Balya property is located in the well known Balya mining district in northeast Turkey. Historically, the district has produced lead, zinc, and silver dating back over 1000 years. Mineralization at Balya is found in a base and precious metals-rich skarn and carbonate replacement zones hosted in limestones and dacites. The main zone of mineralization is known as Hastanetepe, which is a shallow dipping, 450 by 300 meter zone that occurs from depths of 10-20 meters to 200-300 meters as multiple stacked horizons of lead-zinc-silver mineralization.



The Balya license, covering the Hastanetepe zone, was acquired by EMX in a 2005 government auction. Previous to EMX's acquisition of Balya, the Turkish government (MTA) drilled eight holes totaling 1,935 meters during the 1970s, and determined that the property still had the potential to develop a lead-zinc resource. Eurasian's early work consisted of surface geological mapping and re-interpretation of government geophysical and drilling data, confirming the presence of a high-grade base metal and silver exploration target.
In November, 2006, EMX concluded a property swap with Dedeman Madencilik San. Vetic. A.S. ("Dedeman"), transferring the Balya license to this privately held Turkish mining company. The terms of the agreement include a 4% net smelter royalty on production, a US$100,000 advance royalty payment and work commitments by Dedeman calling for 3000 meters of drilling in year one, and a total of US$1.5 million of drill expenditures in years two and three. Dedeman superseded their work commitments in the first three years, and since then has continued to explore and develop the property with a total of 140 diamond drill holes totaling over 27,400 meters. Almost all holes drilled have intersected significant lead-zinc-silver mineralization. Many of the holes contain multiple intercepts of mineralization from stacked horizons. In addition, new step-out drill holes 650 meters to the south of Hastanetepe have intersected additional lead-zinc-silver mineralized zones.

As a measure of Dedeman's continued commitment to advancing the Balya property, their 2011 drill program of 53 core holes totaled approximately 10,500 meters. This program expanded the high-grade lead-zinc-silver mineralization in the Hastanetepe zone to the southeast and northwest with step-out holes, and continued to confirm the continuity and tenor of the mineralization with in-fill holes at 25 to 50 meter spacing. The zone remains open for extension along strike, down dip, and to depth. The most recent results are outlined in the table below (from January 2012 news release), and highlighted on the following map.

Drilling at Balya is ongoing, and Dedeman continues to advance the property's potential as a small scale, underground mining operation. Dedeman is a leading Turkish mining company, with active operations that produce lead, zinc, silver, and over four percent of the world's chrome ore.



* True width estimated at 70-90% of reported interval.




Turkey - Aktutan Royalty Property

Aktutan is located in the Eastern Pontides Mineral Belt, just south of the Black Sea. This precious and base metal property was originally obtained by EMX via government auction in early 2004.



The project is covered by Eocene intermediate volcanics, tuffs and volcano-clastics alternating with Eocene flysch assemblages. Andesitic volcanic units show pervasive chloritic and argillic alteration, and are locally silicified. A zone of epithermal silica veining extends for approximately 1,000 m along an east-southeast trend, steeply dips at 80 to 90 degrees northeast and is the primary exploration target.

EMX drilled four exploration holes in 2007 on the property totaling just over 800 meters. All of the holes intercepted silver, gold and base metal mineralization along approximately three quarters of a kilometer of strike length. Intercepts of note include the following reported in hole AK-4:

• 2.0 meters (from 58.9 to 60.9 m) averaging 3.40% copper, 418 g/t silver, 0.06% molybdenum, 0.11% lead, 0.73% zinc, and 0.90 g/t gold.
• 1.85 meters (from 78.20 to 80.05 m) averaging 4.20% copper, 472 g/t silver, 0.10% molybdenum, 3.16% lead, 1.45% zinc, and 0.98 g/t gold.

In August, 2007 EMX announced the sale of Aktutan to Dedeman Madencilik San. Vetic. A.S. ("Dedeman") that included a 4% uncapped net smelter royalty. Dedeman's work to date has been limited to around 1000 meters of drilling, with results including:

• 8.0 meters (from 74 to 82 m) averaging 0.4% copper, 44.52 g/t silver, 0.1% molybdenum, 0.035% lead, 0.1% zinc, and 0.13 g/t gold.
• 10.8 meters (from 137.5 to 148.3 m) averaging 0.65% copper, 41 g/t silver, 0.031% molybdenum, 0.095% lead, 0.14% zinc, and 0.74 g/t gold.

Advancement of Aktutan has been on hold, as Dedeman continues to focus on the Balya lead-zinc-silver property.