Pantoro Limited (ASX:PNR) (FRA:RKN) has completed its $50 million sole funding expenditure obligation at the Norseman Gold Project and has now formed an unincorporated joint venture.
This forms part of Pantoro’s farm-in and joint venture agreement with Tulla Resources PLC (ASX:TUL) and Pantoro South Pty Ltd, a subsidiary of Pantoro, will manage the JV.
Growing resource base
Managing director Paul Cmrlec said: “Our intensive drilling and pre-development works at Norseman during the past year and a half have demonstrated the quality of the project.
"Deconstruction of the existing processing facility has commenced and we look forward to building the project during the next year while we continue to grow the resource base through substantial ongoing drilling programs.”
Cash calls issued
Pantoro South has submitted an approved budget to the JV for the period ending June 30, 2021, and has issued cash calls to the joint venture parties.
As 50% owner of the Norseman Gold Project, Pantoro will be responsible for 50% of the expenditure it incurs as manager of the JV.
Under the terms of the JV, the parties are to pay their share of expenditure in advance on a monthly basis.