Gold producer Focus Minerals has announced it's has reached agreement to acquire a 75 per cent stake in the Treasure Island gold-copper project near Kambalda.
In a statement, Focus said surface reconnaissance exploration has produced grades of up to 49 grams a tonne gold and 1 per cent plus copper.
Under the terms of the agreement, Focus will issue 3 million fully paid Focus shares to the private company Semro.
Focus is required to spend $200,000 on exploration over the next 12 months.
In return, Focus will acquire a 75 per cent stake in the Lake Cowan tenement.
Focus statement said, "Based on the historical and reconnaissance exploration results, Focus believes the Lake Cowan region offers immense potential and has begun planning for a detailed aeromagnetic survey in conjunction with geological mapping and rock chip sampling to identify targets for drilling."
Focus chief executive officer Campbell Baird said Focus Minerals was very excited about the Lake Cowan Project.
"It is early days and there remains a lot of exploration work to be done," Mr Baird said.
"However the grades from historical fieldwork and recent reconnaissance are incredibly exciting and we look forward to fully exploring what appears to be a highly mineralised copper-gold project," he said.
