Portage Resources (Portage) has signed a letter of intent (LOI) with Airon Peru and Albroock Gold Peru to purchase Wukakuy properties located in Peru, for an undisclosed sum.

The company is expected to conduct all due diligence and research on the assets before 31 August 2011.

Portage Resources president and CEO Paul Luna said the company is studying the N43-101 report on the properties and other geological studies.

“The potential reserves may be in multimillion ounces of silver, but we must be careful to conclude all due diligence before reaching a final decision on this acquisition,” Luna added.