TSX-V-listed Gold Bull Resources has executed a purchase and sales agreement to acquire 100% of the Sandman gold project, in Nevada, from gold major Newmont for $4-million.
The acquisition includes all mineral rights, transferable permits, data and drill core relating to the project. Existing royalty obligations transfer with the project.
The project has proven gold mineralisation comprising a total resource of 309 900 oz of gold, comprising a measured and indicated resource of 271 900 oz gold and an inferred resource of 38 000 oz of gold.
The Sandman drill-hole database includes at least partial records of 974 drill holes, including 175 core holds.
Further, exploration work completed at Sandman to date has resulted in the discovery of four gold deposits and the identification of other target areas that remain to be explored. Sandman provides the potential for near-term production from one or more of the known deposits, and there is also the potential for the discovery of new precious-metal mineralisation beyond the limits of the deposits.
Gold Bull believes that Sandman is “a property of merit” that warrants significant additional expenditures, and therefore has programmes in place aimed at increasing the size of the Sandman mineral resources and defining new areas of mineralisation as justified in a Phase I work programme.
Four discrete gold deposits have, so far, been discovered at Sandman, which Gold Bull says “proves the existence of multiple hydrothermal systems and suggests that the potential for the discovery of additional deposits is excellent”.
Closing of the acquisition is subject to Gold Bull’s routine filing requirements with the TSX-V and subject to financing.