Argent Minerals (ASX:ARD) will now have until 30 June 2017 to increase its interest from 51% to 70% in the West Wyalong Farmin with Golden Cross Resources (ASX:GCR) after the partners agreed to the extension.
This is an extension of 18 months beyond the previous earn-in date of 9 January 2016.
Significantly, the balance of Argent’s $1,350,000 total commitment to earn 70% has been reduced to $372,570, having invested a total of $977,430 in the project as at 2 December 2015.
A large copper-gold target has been identified by Argent at West Wyalong which shows significant potential given the mineral endowment of the region.
The project is just 7 kilometres from the West Wyalong gold fields that produced 445,700 ounces of gold between 1894 and 1921.
The region hosts the world-class porphyry copper-gold mines of Newcrest's Cadia and China Molybdenum and Sumitomo's Northparkes copper and gold mine located 27 kilometres north west of Parkes.
Located only 37 kilometres to the north of West Wyalong is the Cowal mine. Cowal was acquired by Evolution Mining (ASX:EVN) in July 2015 for US$550 million and has ore reserves of 2.2 million ounces of gold.
Exploration about to heat up at West Wyalong porphyry copper gold target
First up is the commencement of an extended induced polarisation (IP) geophysics survey scheduled for February 2016.
This will be followed with the design of a drill test plan for the target.
The Argent identified the target through a magnetic survey that was flown over the area in 2014, and confirmed it in September 2015 with an induced polarisation survey.
Argent’s check of historical exploration records also revealed that strong copper–gold geochemistry had been intersected by shallow aircore drilling by Newcrest prior to Argent’s geophysics surveys.
Other operators appear to have their eye on the potential of the area, with Sandfire also acquiring a strip of tenements to the south east of West Wyalong from Straits Resources in October 2015.
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