Rumble Resources (ASX: RTR) has acquired an option to purchase a nickel-copper project within the highly prospective Fraser Range in Western Australia.
Previous exploration by Teck Australia on the Fraser Range Project had intersected metagabbro rock
Units that appear to be of similar age to Sirius Resources (ASX: SIR) Nova discovery rock units.
The company will continue to interpret data supplied by the vendors, which include detailed airborne magnetics, two ground gravity surveys and regional geochemistry.
It added that the second of two core holes drilled by Teck had failed to intersect the source of the gravity high anomaly and that this will be a high priority target for further exploration which will include airborne and ground EM surveys.
Teck’s two holes targeted a sub circular gravity anomaly and a magnetic anomaly in an unsuccessful bid to find iron oxide copper gold style mineralisation.
Rumble has paid $15,000 for a 6 month option to purchase the Fraser Range Project. During this time, the company may undertake any form of exploration on the project.
The purchase price is $30,000 in cash and $70,000 in listed shares with one free attaching option for each share.
The options are to be issued with no less than a 3 year exercise period and at an exercise price equal to the 30 day volume weighted average price in the 30 days prior to Rumble electing to pay the purchase price.
Rumble will also be required to pay the vendor $50,000 worth of listed shares within 28 days of the start of drilling on the project and a further $100,000 worth of shares if it intersects mineralisation equal to or in excess of 10 metres wide with an average grade of 1.5 grams per tonne gold equivalent value,
Lastly, on announcement of an Inferred Resource with an in-ground value of at least $500 million, Rumble shall issue the vendor $500,000 worth of listed shares.
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