Tasman Resources (ASX: TAS) has secured A$3 million from the sale of six Stuart Shelf tenements to BHP Billiton (ASX: BHP), with Tasman noting that the sale represents the tenements current value.
The tenements are strategically located within a very prospective part of the Stuart Shelf/Gawler Craton in South Australia, which already hosts the Olympic Dam, Prominent Hill and Carrapateena IOCGU deposits.
Tasman has been actively exploring these areas and have identified several targets, but the company believes that the targets are deep, and therefore a Tier 1 mining company would be required to explore with their strong financial backing and large exploration budgets.
The deal though does not include Tasman’s EL 4322, which relates to the Vulcan IOCGU discovery positioned just 30 kilometres north of Olympic Dam, which is the subject of a Farm-in/Joint Venture Agreement with Rio Tinto (ASX: RIO).
Vulcan joint venture with Rio Tinto
Tasman now has an additional $3 million to progress Vulcan, and the deal with Rio includes; $10 million to Tasman to drill 12,000 metres (estimated cost $5 million) in 12 months, and then Rio to pay Tasman $7 million and spend $25 million on exploration for 55%.
Then if Tasman dilutes, Rio may spend $50 million for further 25% to take its total to 80%, and then Tasman may contribute or require Rio to buy Tasman's remaining 20% stake.
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