JOHANNESBURG (miningweekly.com) – ASX-listed Bligh Resources and its joint venture (JV) partner Contained Gold have agreed to explore the possibility of selling the Bundarra JV project, in Western Australia, to an unrelated third party.
The companies entered into a JV agreement in October last year, under which Contained Gold, a subsidiary of privately owned Angler Mining, had agreed to complete a feasibility study for the project in an 18 month timeframe and to then consider fully funding a carbon-in-pulp gold recovery plant to lease back to the project.
Bligh and Contained Gold had aimed to form a 50:50 JV at Bundarra.
Since singing the agreement, Contained Gold had made a cash payment of $275 000 to Bligh and a cash advance of $250 000, which was intended for a share placement at an issue price of $0.035 a share. Bligh reported on Friday that the placement proceed would now be applied to a convertible note for a six-month term end date.
The company also reported that it would issue 1.5-million shares at $0.023 a share to the JV advisers to settle their fees.
The Bundarra project had a code complaint resource of 426 000 oz across three deposits and a new exploration zone.