Forrestania Resources Ltd (ASX:FRS) has snapped up a key tenement under option at its Bonnie Vale Project, near Coolgardie, in WA’s prolific Eastern Goldfields.
This comes as the company waits on some key gold assay results from its recent reverse circulation (RC) drilling program at Ada Ann.
The new tenement is to the east of Bonnie Vale Project and hosts the southern extension of the regionally and geologically important Kunanalling Shear Zone (KSZ).
Adjacent, strategic tenement
“We are pleased to have secured this key tenement which is strategically located to the east and southeast of the current Bonnie Vale Project, adjacent to our existing holdings,” Forrestania Resources chair John Hannaford said.
“Importantly, the tenement includes the southern extension of the Kunanalling Shear Zone – a significantly prominent, regional structure which is synonymous with gold-bearing resources to the north as part of Evolution Mining’s 5.0 Moz Mungari Project.”
The company has secured a 12-month option over E 15/1972 for the payment of an option fee of $15,000 to Amery Holdings Pty Ltd.
Once the option period expires the company will be able to acquire 100% of the tenement for a consideration of $35,000, payable in shares based on a five-day volume-weighted average price (VWAP) price at the time.
The tenement covers three graticular blocks and will give the company the opportunity to enhance its geological position along the KSZ.
Significance clear
The KSZ is close to the western margin of the Kalgoorlie Terrane of the Eastern Goldfields Superterrane and its regional significance is clear from the EVN discoveries and resources to the northwest including Castle Hill, which has a reserve of 21.4 million tonnes at 0.9 g/t gold for 615,000 ounces gold.
Forrestania Resource’s Bonnie Vale Project (E15/1632 and E15/1534) and new tenement (E 15/1972 in blue) showing the extension of the Kunanalling Shear Zone which hosts several big resources, including part of the 5.9-million-ounce Mungari project held by Evolution Mining.
During the option period, Forrestania is planning literature/WAMEX reviews to confirm historical work followed up by fieldwork to validate the data and the tenement will be tested as part of future field programs.