Image Sourced ShutterStock
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

  • AIC Mines has entered into an earn-in and exploration joint venture agreement and a share subscription agreement with Rumble Resources for the Lamil Gold-Copper Project
  • The project is located in the highly prospective, under-explored Paterson Province
  • AIC and Rumble believe Lamil has significant potential for gold-copper mineralisation similar to the world-class Telfer mine (also located in the Paterson Province)
  • AIC will have the right to earn a 50 per cent interest in the Lamil Project with potential to increase by an additional 15 per cent, subject to requirements

AIC Mines has entered into an earn-in and exploration joint venture agreement and a share subscription agreement with Rumble Resources for the Lamil Gold-Copper Project in the Paterson Province.

The Paterson Province is located in north-west Western Australia and is known to be one of the most highly prospective yet under-explored mineral provinces in Australia. The Lamil Project covers an area of 1375 square kilometres and is situated between two world-class mines: the Telfer and Nifty mines.

Rumble’s interest in the project may stem from a recent breakthrough based on an airborne magnetic survey completed in March 2019. Rumble’s findings showed the depth of cover to the main targets in the Lamil Project area is less than 100 metres, with AIC confirming this during a due diligence review.

Rumble’s survey also highlighted similarities between Lamil’s and Telfer’s dome structures. AIC confirmed the Lamil Dome could potentially host Telfer-style gold and copper mineralisation.

Under the share subscription , AIC will subscribe for 4,166,667 new shares in Rumble at 6 cents per share for total proceeds of $250,000 within 30 days of when the earn-in and exploration joint venture becomes unconditional.

Under stage one of the earn-in, AIC can earn a 50 per cent interest by issuing Rumble 714,286 new shares in AIC for nil cash consideration and spending $6 million over four years.

Under stage two, AIC can earn a further 15 per cent by spending $4 million over one year if Rumble chooses not to commence contributing.

Following recent discoveries in the Paterson Province by Rio Tinto and Greatland Gold, the area is now ‘highly sought after.’ AIC and Rumble look forward to combing their expertise to unlock the potential at the Lamil Project.

A1M by the numbers
More From The Market Online

Aquirian locks in purchase of 160Ktpa explosives plant to fuel WA mining demand

Mining services company Aquirian has announced its settlement of the purchase of a 160Ktpa ammonium nitrate…

Poor run for industrials sector helps sink Veris despite 3Y VIC gov contract win

Microcap stock Veris Limited was down -3.33% in line with a larger decline of -0.41% for…

Titomic shares jump 30% as Dutch Army buys up Cold Spray systems for Ukraine

The Dutch Army is buying ten metal manufacturing and repair stations, called Cold Spray Systems, from…

Electro Optic Sys raising $40M as geopolitical uncertainty bolsters growth strategy

Electro Optic Systems has announced it's raising $40M as "geopolitical uncertainty [creates] strong market conditions."