West Perth-based explorer Legend Mining will buy a large block of land in the Fraser Range and form an exploration joint venture with the highly successful prospector Mark Creasy.
Legend will acquire a 70 per cent interest in several tenements, covering a 2,530 square kilometre area in exchange for $2.5 million in cash and 71.5 million shares at 0.7 cents each, worth $500,500, to Mr Creasy.
Legend will also be required to sole fund all exploration, carrying Mr Creasy’s 30 per cent interest through to the signing of mining venture agreements.
“In real estate terms, this is the biggest block in the biggest street,” Mr Wilson said.
“Our enviable treasury position enables us to make the acquisition and cover several years of high impact exploration activity.”
Mr Creasy said the size, access to rail infrastructure and the potential of gas power in the prospective location were all positive attributes.
Legend shares were unchanged today, but have gained 0.3 cents since Monday to close at 1 cent each today.