PERTH (miningweekly.com) – Junior Buxton Resources has struck a deal with fellow-listed New World Cobalt to acquire its West Kimberley project, in Western Australia.
The three tenements making up the West Kimberley project lie adjacent to Buxton’s own Merlin prospect, and are considered to be highly prospective for additional nickel/copper/cobalt sulphide mineralisation.
Under the terms of the agreement, Buxton would acquire the project for 1.33-million shares.
A further A$250 000 worth of shares would be issued on positive drilling results, as well as on the announcement of a Joint Ore Reserves Committee-compliant resource within the West Kimberley project. A further A$500 000 in shares will also be issued if the resource exceeds 15 000 t of contained nickel equivalent.
New World said on Tuesday that the divestment of its West Kimberley project would allow the company to focus on the exploration and development of its high-grade cobalt projects in North America while retaining exposure to the West Kimberley project.