PERTH (miningweekly.com) – ASX-listed Tungsten Mining has struck an A$8.68-million deal with fellow listed GWR Group to acquire the Hatches Creek tungsten project, in the Northern Territory.
The project consists of two granted exploration licences totalling 31.4 km2, which cover the historic Hatches Creek tungsten mining center, which previously recorded 2 840 t of tungsten between 1915 and 1957.
GWR has successfully completed reverse circulation drilling in 2016 and 2017, which confirmed multiple high-grade polymetallic tungsten targets and demonstrated the potential for a large high-grade polymetallic tungsten deposit.
“We are delighted to have agreed to terms for the purchase of the Hatches Creek project, a historic tungsten mine with significant exploration upside,” said Tungsten Mining CEO Craig Ferrier.
“Tungsten Mining has a stated objective of becoming a globally significant player in the tungsten industry. This acquisition, together with the recent acquisition of the Watershed project in Queensland and our Mt Mulgine development in Western Australia provide an exciting portfolio of tungsten assets to deliver our strategic objective,” said Ferrier.
GWR told its own shareholders that the transaction would allow the company to maintain its focus on its Wiluna West gold project, and to see the Hatches Creek project explored and developed by a dedicated tungsten company.
GWR will remain a major shareholder in Tungsten Mining through its 9.73% shareholding in the company.
The transaction is subject to a number of conditions, including the completion of a due diligence, and shareholder approval.