West Perth-based Legend Mining Ltd has signed a joint venture agreement with Sydney-based Gateway Mining Ltd, allowing it to explore a greater area around its wholly-owned nickel-copper-platinum group-rich Gum Creek project.
The full text of a Legend announcement is pasted below
Legend Mining Limited ("Legend") (ASX:LEG) has today announced that it has signed the West Bungarra Joint Venture Agreement ("JV") with Gateway Mining Limited ("Gateway") (ASX:GML).
Legend Managing Director Mark Wilson said "This is a natural fit at our Gum Creek Project. The JV secures tenure over the entire Bungarra Intrusive Complex and allows Legend to exclusively conduct exploration at this highly prospective target area."
The JV ground covers the western margin of the Bungarra Intrusive Complex (BIC) at the Bungarra Target Area within Legend's Gum Creek Project.(See Figure 1).
Legend has previously announced the discovery of magmatic copper-nickelplatinum group element mineralization close to the base of the layered maficultramafic BIC.
The JV specifically gives Legend access to the entire southern strike extension from the Python Prospect where outcropping gossanous ironstone returned rock chip samples that assayed up to 5.7% copper, 1.0% nickel and 0.7g/t platinum group elements. (See Figure 2)
DEAL SUMMARY
Legend equity 70%, Gateway equity 30%
Legend's pending E57/709 and Gateway's P57/976 will form the JV Tenements
Legend will sole fund and manage to Decision To Mine
Standard pre-emptive rights over sale of interests are applicable to both parties
Once a Decision To Mine is made each party may elect to contribute, dilute or divest with Legend to manage and a Management Committee to govern the JV
NEXT PHASES OF WORK
A heritage survey has already been completed clearing the way for systematic exploration to commence once the exploration licence is granted (expected in mid August 2007).
Results from a high resolution aeromagnetic survey are awaited. This will enable the mapping of accumulations of magnetic mineral pyrrhotite, which are characteristically found with this type of copper-nickel-platinum group
mineralization, along with ground EM, possibly a VTEM survey and other on ground work with an objective of working up further drill targets as expeditiously as possible.
