Peel Mining Ltd (ASX:PEX) has updated the gold resource at its Apollo Hill project in Western Australia to comply with the 2012 version of the JORC code.
Apollo Hill is located circa 50 kilometres southeast of Leonora and comprises a tenements package covering circa 1,000 square kilometres within the North-Eastern Goldfields of Western Australia.
The gold resource of 17.2 million tonnes at 0.9 g/t gold for 505,000 ounces of gold (using 0.5 g/t gold cutoff) was previously reported in September 2011 under the 2004 version of the JORC code.
The new update brings this Apollo Hill resource estimate into line with JORC Code 2012.
This update has been done in anticipation of Peel’s plan to unlock the value of the Apollo Hill Gold Project through an initial public offer (IPO).
The proposed transaction will have Peel vending Apollo Hill into subsidiary Saturn Metals Limited, which would then IPO on the ASX.
As nominee, Apollo would receive 20 million shares as consideration for the Apollo Hill assets.
The plan for Saturn IPO would be to seek to raise up to $7 million through the issue of up to 35 million shares at $0.20.