PERTH (miningweekly.com) – The strategic alliance between ASX-listed Havilah Resources and takeover target Oz Minerals has started, with exploration drilling at the Kalkaroo copper/gold/cobalt deposit, in South Australia.
The exploration drilling programme will initially focus on seven separate high priority copper prospect areas within Havilah’s 100% owned exploration licence that surrounds Kalkaroo, with the objective to locate additional copper resources close to Kalkaroo that could be additive to the existing Kalkaroo mineral resource and so enhance its development prospects.
Up to 19 900 m of reverse exploration drilling will be undertaken in the A$4-million programme.
“Havilah is delighted to be working with Oz Minerals who are recognised as a highly successful South Australia-based copper mine developer and operator,” said Havilah technical director Dr Chris Giles.
“Funding provided under the strategic alliance will allow Havilah to accelerate exploration for new copper deposits in the area of interest tenements in the highly prospective and under-explored Curnamona Province.
“Initially we have selected a series of prospects each with known copper mineralisation, which lie within potential trucking distance of Kalkaroo. A minimum number of firm drillholes is planned to test each prospect, with the capacity to complete further contingent drillholes if initial results are encouraging.”
Havilah and Oz Minerals in May signed a binding term sheet comprising an 18-month option to purchase Kalkaroo and for a strategic alliance. Oz Minerals will conduct a study programme over this period, focused on confirming and expanding its existing mineral resource, and will determine whether to proceed with a purchase of the Kalkaroo project for A$205-million.
Under the strategic alliance, up to A$9-million will be directed towards exploring copper targets within Havilah’s surrounding highly prospective Curnamona Copperbelt over the the 18-month period.