Trafford, Zinifex sign $8.5m farm-in deal

West Perth-based explorer Trafford Resources Ltd and miner Zinifex Ltd have signed a farm-in agreement under which Zinifex may spend $8.5 million to explore and develop lead, zinc and silver deposits within Trafford's Wilcherry Hill project in South Australia.

The agreement, announced last year, will enable Zinifex to earn up to a 75 per cent interest in lead/zinc/silver discoveries within the project area over five years, by spending $8.5 million in three stages.

Trafford wil be the manager and administrator of the joint venture during the first three years and $4.5 million of expenditure.