Abra Mining Ltd has taken over the farm-in rights of Perilya Ltd to Apex Minerals' NL Jillawarra project in the same area as Abra's multi-resource project.
Abra Mining Ltd has taken over the farm-in rights of Perilya Ltd to Apex Minerals' NL Jillawarra project in the same area as Abra's multi-resource project, near Meekatharra in Western Australia's northern goldfields region.
In addition, one year will be removed from the timeframe for Abra's stage-by-stage arrangement to assume up to 70 per cent of the project.
It is seen as a positive development for the project as Abra has a strong focus on this region and has the financial and technical resources to move the project forward.
Under the amended terms of the Jillawarra joint venture, Abra can earn a 51 per cent interest via the expenditure of $500,000 on exploration prior to April 28 2008, and has the right to increase its interest to 70 per cent by spending an additional $850,000 by April 2010.
In regards to Jillawarra, the joint venture refers to an area of approximately 1,500 square kilometres including granted exploration licence E52/1413 immediately to the west of Abra's Mulgul project.
Lead, copper and zinc mineral occurrences are distributed throughout the area with many displaying geological characteristics consistent with those observed at the Abra deposit.
THE FULL RELEASE APPEARS BELOW.
Abra Mining Limited Farms Into Apex's Jillawarra Project
Apex Minerals NL is pleased to advise that Abra Mining Limited ('Abra' - ASX Code: AII) has assumed the farm-in rights and obligations of Perilya Limited ('Perilya') to Apex's Jillawarra project, immediately west of the Abra lead-zinc-copper-gold project.
In addition, Abra has agreed to reduce by one year the timeframes previously agreed with Perilya for it to earn in stages up to a 70% interest in the project.
This is a very positive development for the project as Abra is highly focused on this region and has the financial and technical resources to move the project forward.
Shareholders are referred to the release issued by Abra in this regard and which details the broader aspects of its arrangement with Perilya.
Improved Terms
Under the amended terms of the Jillawarra Joint Venture, Abra can earn 51% interest via the expenditure of $500,000 on exploration prior to 28 April 2008 and has the right to increase its interest to 70% by spending an additional $850,000 for a total expenditure of $1,350,000 by April 2010.
Thereafter, Apex and its partner Syndicate can each maintain their respective interests by contributing to future exploration or they can independently elect to convert their contributing interests to a 10% interest free carried to completion of a bankable feasibility study. Thereafter each party may contribute to future expenditure or convert their interest to a 1.5% net smelter royalties.
Prospectivity
In regards to Jillawarra, Abra has stated that 'the joint venture refers to an area of approximately 1,500 square kilometres including granted exploration licence E52/1413 immediately to the west of Abra's Mulgul project. Together, these projects cover the entire 60 kilometre strike length of a highly prospective sedimentary sequence within the Jillawara sub-basin that hosts the namesake Abra deposit. Lead, copper and zinc mineral occurrences are distributed throughout the sub-basin with many displaying geological characteristics consistent with those observed at the Abra deposit.
Scattered drilling by previous explorers within the Jillawarra project at the Copper Chert prospect, for example, has intersected copper mineralisation similar in character to veining observed in the footwall of the Abra deposit. A large, untested lead-in-soil geochemical anomaly in rocks stratigraphically overlying the copper mineralisation is a potential indicator of Abra-style lead-zinc sediment hosted mineralisation and provides an immediate target for drilling'.
