Alien Metals Ltd (AIM:UFO, OTC:ASLRF) conditionally agreed to buy Platina Resources Ltd (ASX:PGM)’s 30% interest in the Munni Munni platinum group metals and gold project in Western Australia for a total of A$2.23mln (£1.2mln) in cash and shares.
The Munni Munni project in the Pilbara region is one of the largest undeveloped primary platinum group elements (PGE) resources in Australia and is adjacent to Alien’s Elizabeth Hill project, which already hosts potential for further significant silver, copper, nickel and PGE mineralisation, Alien said.
Munni Munni contains a 2.2-million-ounce PGE and gold resource, according to an historic non-JORC compliant estimate.
“We are very excited to commence the consolidation of the Munni Munni and Elizabeth Hill region,” said Alien chief executive Bill Brodie Good. “The presence of one of Australia's largest unmined PGE deposits located so close to one of Australia's highest grade silver deposits provides an amazing exploration and development opportunity.”
“Munni Munni has been subject to considerable historical expenditure, which led to the delineation of over 2Moz of precious metal with potential for more along strike and at depth. We believe that the robust demand for PGEs via the transition to electric vehicles (EVs) will lead to projects like Munni Munni being in high demand.”
Alien will also have a right of first refusal to buy the remaining 70% interest in the project that is currently held by Artemis Resources Ltd (ASX:ARV, ASX:ARV).