PERTH (miningweekly.com) – Gold miner ABM Resources and fellow-listed Independence Group have agreed to expand and extend an exploration agreement over the Lake Mackay assets, in the Northern Territory.
In 2013, the two companies signed an agreement under which Independence could earn a 70% interest in the project area by spending a combined A$7.6-million on exploration in the region over a six-year period, and making either a A$1-million cash payment to ABM or subscribing for A$1.5-million ABM shares.
The agreement had been adjusted to include six additional exploration licence applications, and incorporate a farm-in and joint venture (JV) arrangement relating to the Castile Resources earn-in and JV agreement over the adjoining exploration licence applications.
The new agreement also extended the initial term of the agreement by a period of three years, or to the date one year after the grant of the last exploration licence application, whichever came first.
ABM CEO Brett Lambert said on Monday that the company was pleased that Independence had extended its commitment to the Lake Mackay project.
Independence’s short-term focus would be on the recently discovered Bumblebee deposit, and the surrounding area.
“We will be evaluating opportunities to replicate this type of deal through securing other parties to share the risk and rewards of exploring other noncore areas of the company’s extensive Northern Territory landholding,” Lambert added.