Horizon Minerals Ltd (ASX:HRZ) has completed the acquisition of the Cannon, Glandore and Cowarna gold projects in WA.
In May this year, HRZ agreed to purchase 100% of the assets for $5 million cash from Aurenne Group Holdings Pty Ltd broken into:
- $2.5 million in cash at settlement; and
- $2.5 million in cash on the earlier of 12 months from settlement or first gold production from the Cannon underground gold mine.
HRZ has now made the first payment, having met all commitments including completing all mining information and statutory consents and signing the transfers.
Payment to Aurenne was made from existing cash reserves.
Updated mineral resource shortly
In the company’s annual report released last month, managing director Jon price and chairman Ashok Parekh said in a joint statement: “The acquisition of the Bulong South, Glandore and Cowarna project areas provides an early production opportunity at the Cannon underground mine and significant exploration upside across the 180 square kilometres of tenure.”
The projects comprise 22 granted mining, prospecting, exploration and miscellaneous licences and two applications.
They are just a short distance from HRZ’s 100%-owned Boorara Gold Project. Boorara is a flagship project, where the company’s consolidated feasibility study is planned to deliver a minimum five-year initial mine and underpin the establishment of a standalone centralised processing facility at the Boorara mine site.
HRZ is well advanced in its review of the geological data, resource and reserve models and high priority drilling targets, with an updated mineral resource estimate and ore reserve for the Cannon underground gold mine expected to be announced in the 2021 December quarter.
About HRZ
Horizon is an emerging mid-tier gold producer with an extensive portfolio of highly prospective gold projects in the heart of the world-class Western Australian Goldfields.
The company has a large resource base of 1.15 million ounces of gold covering a total area of 1,100 square kilometres, growth options in multiple commodities and a clear development and production strategy.
Its asset base holds 562,000 ounces of estimated gold mineral resources within easy trucking distance of the 507,000 ounces Boorara deposit, which has approvals in place for open-pit mine development and the construction of a new processing facility.