Cyclone Metals Ltd (ASX:CLE) has two new gold projects to explore in New Zealand.
The ASX-lister has been granted five-year exploration permits for the Drybread and Waikerikeri gold camps, which can be renewed at the company’s discretion.
This move gives Cyclone roughly 198 square kilometres of new ground to explore and a sampling program is being designed to better understand both project’s geology.
The company plans to visit its new exploration prospects in due course, but in the meantime, a Cyclone geologist is in New Zealand, overseeing a maiden geochemical sampling program at two other gold projects: the Mareburn and Macraes South assets.
The first batch of samples from the company’s maiden campaign have been dispatched to ALS in Perth and Cyclone will report on results as they become available.
Location, location, location
For Cyclone, New Zealand represents a premier exploration district: the company’s gold assets sit near or contiguous to processing plants that gives any exploration success a potential route to production.
What’s more, the explorer’s newest exploration projects are contiguous to Santana Minerals (ASX:SMI) Ltd’s Bendigo-Ophir Gold Project, which is advancing towards production and has substantially bolstered the company’s market capitalisation.
Speaking to the grants, Cyclone Metals executive director Tony Sage said: “With the maiden exploration program well underway in New Zealand and the first batch of geochemical samples dispatched to ALS in Perth, it is great to also get the news of the granting of Waikerikeri and Drybread, which surround the Santana owned Bendigo-Ophir Gold Project that has increased their market cap to more than $100 million.
“I look forward to further positive work by the technical team and site visits to Drybread, Waikerikeri and to the Longwood Range PGE Project.”
Now that the projects have been granted, Cyclone can press ahead with sampling programs, which will quickly assess Drybread and Waikerikeri’s drill target potential.