Yandal Resources Ltd (ASX:YRL) has executed three separate agreements to acquire seven new mining tenements immediately adjacent to and within the Gordons Gold Project near Kalgoorlie-Boulder in Western Australia.
The new acquisition tenements in the Star of Gordon prospect area are immediately along strike from interpreted mineralisation trends based on the limited historical and recent drilling.
Notably, the combined area available for exploration has been expanded to ~4 kilometres of strike and there is also potential for parallel zones.
Data compilation of historic exploration activities on the new tenements is underway ahead of heritage surveys and statutory approvals to conduct new exploration drilling as soon as possible.
Acquisition details
Granted Prospecting Licence P27/2234 is immediately west of the Malone prospect and was acquired on a 100% basis from local prospectors Darrall Renton and John Daws for a consideration of 60,000 fully paid ordinary shares in Yandal Resources.
Yandal has also executed an agreement with Moho Resources Ltd (ASX:MOH) to acquire a 100% interest in the gold and related metal rights over granted Prospecting Licences P27/2226 and P27/2216-18 (Saunders Tenements) and Prospecting Licence application P27/2456 (Moho Tenement).
The company will grant a 0.5% Net Smelter Return (NSR) royalty on all gold and related metals produced from the Saunders Tenements to both Frederick Saunders and Moho plus a 1% NSR royalty on gold and related metals produced from the Moho Tenement to Moho.
Moho will also acquire from Yandal a 100% interest in the nickel, copper, cobalt and platinum group elements and related metal rights over some of Yandal’s tenements.
The tenements to be divested only include those that are interpreted to contain a majority of ultramafic rock sequences as shown in Figure 1.
Location map of key prospects within the Gordons Gold project in relation to nearby operating third party gold mines, new acquisition tenements/current project tenements and regional geology.
Yandal managing director Lorry Hughes said: “The new acquisition tenements substantially increase the exploration target size at the Star of Gordon prospect and new drilling programs will initially test areas adjacent to and beneath historic mine workings.
“There has been substantial alluvial prospecting activities in recent times over Yandal’s and the new tenements, however, very little drilling deep enough to penetrate the bedrock has occurred.
“The depth to bedrock is 20-40m in most areas at the Star of Gordon prospect and RC and diamond drilling is required to provide a thorough test.
“I look forward to our exploration team commencing comprehensive exploration programs in the near term.”
Drilling update
RC (reverse circulation) drilling is continuing at the Gordons Dam and Star of Gordons prospects.
Numerous aircore, RC and diamond drilling results are awaited for the Malone, Andrews and Bradman prospects which when received will enable new drilling targets to be prioritised.
Next steps
Key exploration activities planned during the December and March quarters include:
- Receive and interpret pending AC, RC and diamond drill assays from the Malone, Gordons Dam, Star of Gordon, Andrews, Bradman, Challenger, Parmelia, Success and HMS Sulphur prospects;
- Commence diamond drilling at the priority Star of Gordon, Gordons Dam and Bradman prospects;
- Compile an open-pit MRE and commence feasibility studies for the Gordons Dam prospect; and
- Commence detailed planning and execution of heritage surveys over key prospect areas within the Ironstone Well and Barwidgee projects including priority areas adjacent to and along strike from the Flushing Meadows, Oblique, Quarter Moon, Flinders Park and Sims Find prospects.