01/07/2009 - 12:00

JV deals diversify Panoramic portfolio

01/07/2009 - 12:00

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Panoramic Resources has followed through with plans to expand out of nickel by signing a joint venture deal with Thundelarra Exploration, the second agreement in as many days.

Panoramic Resources has followed through with plans to expand out of nickel by signing a joint venture deal with Thundelarra Exploration, the second agreement in as many days.

Today both companies signed the JV agreement that covers a significant portion of Thundelarra's extensive East Kimberley base metal tenements.

Under the deal, Panoramic has agreed to spend $3 million on exploration within four years to earn a 61 per cent in the East Kimberley JV, with minimum annual expenditure set at $750,000.

Any additional tenements acquired by either party within 10 kilometres of the JV tenements will be included under the agreement, which is subject to final due diligence.

The tenements, which Thundelarra acquired from Breakaway Resources in late 2008, are prospective for a number of commodities including copper, gold, vanadium, iron, nickel and uranium.

Panoramic and Thundelarra already have a working relationship over the Copernicus nickel mine in the Kimberley with the latter holding a 40 per cent interest.

Thundelarra said the deal left the company better positioned to focus on its uranium assets in the Northern Territory.

The agreement follows yesterday's deal between Panoramic and Territory Uranium over the Bluebush copper-gold project in the Tennant Creek region.

Panoramic agreed to spend $500,000 on exploration within the first 12 months and spend a further $3 million over three years to earn a 51 per cent in the project.

The nickel miner's interest can increase to 80 per cent if the company spends an additional $6 million.

The agreement is subject to final due diligence, at the end of which Panoramic can elect to include another Territory tenement into the JV for no additional cost.

The deals follow Panoramic's comments last month that it was on the hunt for acquisitions that would diversify its nickel-heavy portfolio.

Panoramic operates the Savannah nickel mine in the Kimberley.

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