PERTH (miningweekly.com) – ASX-listed Vimy Resources has established a new subsidiary, Vélo Resources, to explore for base metals around the company’s flagship Mulga Rock uranium project, in Western Australia.
Vélo will hold one granted exploration lease and several exploration lease applications, covering a combined 1 700 km2, which is in close proximity to the Mulga Rock project, and thought to be highly prospective for base metals.
Vimy said on Thursday that the new base metals project presented a unique opportunity to apply modern exploration techniques across an entire geological province, which until now has not been recognised as prospective for sediment-hosted base metals.
Vélo will leverage Vimy’s knowledge of the regional geology and appropriate exploration techniques.
Vimy told shareholders that the company will look to structure a future co-investment or divestment of Vélo, and will consider all of its options, including a farm-in, merger or an initial public offering.