20/09/2018 - 15:37

Venus to vend Doolgunna out to AIC Resources

20/09/2018 - 15:37

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Venus Metals has executed a farm-in and JV agreement with AIC Resources, for that company to earn an 80% interest in 5 exploration tenements within Venus’ Doolgunna project near the Plutonic gold mine in WA. The deal requires AIC to spend $175,000 over a 2 year period. The tenements are prospective for volcanic-hosted massive sulphide mineralisation similar to the nearby DeGrussa copper mine and shear-hosted gold deposits such as Plutonic.

ASX listed multi-commodity developer Venus Metals has entered into a farm-in and JV agreement with AIC Resources on the majority of its Doolgunna project tenements, located just 18km northeast of Sandfire’s revered DeGrussa copper mine.

The deal will see AIC earn an 80% interest in 5 tenements by spending $175,000 within 2 years, after which Venus will retain a 20% free-carried interest in the ground through to a decision to mine.

AIC must keep the tenements in good standing throughout the earn-in period to achieve its equity shareholding in the project.

The exploration tenements cover about 90 square kilometres and are centred 12km to the south of the Plutonic gold mine, which has produced more than 6 million ounces of gold, since its discovery 30 years ago.

According to AIC, the project tenements are prospective for volcanic-hosted massive sulphide mineralisation like DeGrussa and orogenic, shear-hosted gold mineralisation, similar to the Plutonic ore deposits.

Venus completed some limited drilling at its Curara Well project which covers the JV ground in late 2016, reporting very wide, low-grade intersections of nickel mineralisation.

The area remains surprisingly unexplored and it will be interesting to see what Venus’ new JV partner can unearth at the Doolgunna project over the next couple of years.

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