PERTH (miningweekly.com) – Juniors Monax Mining and Mithril Resources have struck a farm-in and joint venture agreement under which Monax could earn an 80% interest in the Limestone Well tenements, in Western Australia.
Under the terms of the agreement, Monax will have to spend A$2.5-million over a five-year period to gain the majority share in the tenements, which adjoin the Barrambie titanium/vanadium project, currently held by ASX-listed Neometals.
The tenements are prospective for titanium/vanadium deposits, and have had limited base metals exploration completed over them, and no previous vanadium exploration.
Monax will complete a programme of aircore drilling across the prospective magnetic trends to confirm that the titanium/vanadium mineralisation at Barrambie continues into the Limestone Well project. Once this has been confirmed, reverse circulation drilling will be undertaken to define the extent of this potential mineralisation.
Mithril MD David Hutton said the company was looking forward to the results from the exploration initiative.
“Importantly, the new agreement allows Mithril to remain focused on the Kurnalpi nickel project, where drilling has just finished and assays are awaited, and the new Billy Hills zinc project, where the two tenements have just been granted.”