Caerus Mineral Resources PLC (LSE:CMRS) has announced that an on-site review of all the targets inside the proposed joint venture with Jubilee Metals Group PLC (AIM:JLP, FRA:JI5, JSE:JBL, OTC:JUBPF) and Bezant Resources PLC (AIM:BZT, FRA:BN5) has now been completed.
The extensive and detailed review provided the opportunity to assess individual projects in terms of the geology, viability of progression and scalability of future operations and logistics.
Jubilee is undertaking a thorough programme of metallurgical test work under the terms of the option agreement.
This will continue to identify and optimise mineral processing options, leading to a blueprint for plant design. The final details of a joint venture will be determined by the tonnage, grade and origin of feedstock to be delivered by Caerus to a Jubilee-designed processing plant.
Meanwhile, Bezant has completed a high-level review of all projects in the Caerus portfolio and the parties have agreed on work programme priorities.
The Caerus exploration team will deliver to the future joint venture management committee a detailed work programme, schedule and budget in parallel with a league table prioritising resources for development. The commencement of work programmes is imminent.
"Over the past week, Caerus and our colleagues at Jubilee and Bezant have made significant progress towards the development of our Cypriot portfolio,” said Martyn Churchouse, chief executive of Caerus.
“The visit and subsequent discussions have achieved a number of results. Firstly, the support of our JV partners regarding the overall strategy and way forward has meant we are confident as we launch the next phase of resource development, and a contract has been signed for a diamond drill rig to be delivered to site by the beginning of October. Whilst the scout drilling programme the company has been undertaking these past three months has proved invaluable, the generation of drill core will provide us with better quality samples, the ability to complete NI 43-101 Mineral Resource Estimates and provision of samples for detailed metallurgical test work.”
The emphasis remains on rapid development and the generation of cash flow, with Jubilee guiding the optimisation of the mineral processing pathways, Churchouse added.