Reed in $3m JV deal with Anglo American

Global miner Anglo American has entered into a $3 million joint venture agreement with West Perth-based Reed Resources over the Bell Rock Range nickel-copper project in Western Australia.

Under the deal, Anglo American can earn a 51 per cent interest in the project by spending $1 million in three years.

Following that, Anglo can elect to increase its stake to 75 per cent b spending a further $2 million in an additional four year period.

Should Anglo take a 75 per cent project interest, Reed can elect to either contribute or dilute to a royalty of 2 per cent net smelter return from gold and 1.5 per cent net smelter return for all other minerals.

The deal is subject to a successful access agreement with the Ngaanyatjarra Council.