PERTH (miningweekly.com) – West Australian gold miner Ramelius Resources has signed a farm-in agreement with ASX-listed junior Tychean Resources over its Tanami land package, in the Northern Territory.
The tenement package, which covers some 1 700 km2, includes two granted exploration licences and six exploration licence applications.
Under the terms of the farm-in agreement, Ramelius would pay Tychean A$50 000 in cash upon the execution of an agreement to assist the junior in the grant of two exploration licences within the land package.
Subject to all the necessary approvals, as well as the grant of the two exploration licences, Ramelius would commit to spend at least A$100 000 on exploration within the next two years. The gold miner could earn an 85% shareholding in the project area by spending A$500 000 on exploration within a three-year period.
Tychean would remain free carried until a decision to mine had been taken, at which time the junior could elect to contribute its share of expenditure or to convert to a 1.5% net smelter royalty.