- Lachlan Star (LSA) has entered a six-month option agreement to purchase up to 75 per cent of the Koojan Project
- Koojan is located on the emerging exploration province, New Norica, in Western Australia
- There has been little historical exploration done on the project
- Under the agreement, Lachlan Star will need to spend a minimum of $60,000 on exploration to receive a 50 per cent staake in Koojan
- If it wants a further 25 per cent, the company will then have to spend $350,000 on the project within 18 months
- To pay for the proposed purchase and planned work programs, Lachlan star is aiming to raise $500,000
- Lachlan Star remains in the grey on the market this morning, trading for 0.7 cents per share
Lachlan Star (LSA) has entered into an agreement that could let it purchase a 75 per cent interest in the Koojan Project.
The company has six months to decide if it wants a piece of the copper, nickel and PGE Project, which is located in the New Norica Region, Western Australia. Koojan is currently owned by Coobaloo Minerals.
The New Norica region is an emerging exploration province with recent exploration activity that is continuing to discover new zones of mineralisation.
“The New Norcia region has become a focus for exploration through the recent discovery of the Julimar Ni-PGE-Cu prospect by Chalice Gold Mines,” Executive Director Klaus Eckhof said.
The Koojan Project includes six exploration licenses, two of which are granted, while the other four are applications, and one prospecting licence, which covers 600 square kilometres.
There has been little historical exploration completed at the licence, however, that exploration has identified mafic-ultramafic intrusive rocks that are anomalous in nickel, copper, cobalt and PGE’s.
“The project has not historically been explored for copper and nickel mineralisation however Government geological mapping has highlighted numerous mafic-ultramafic intrusive bodies that may be associated with mineralisation,” Klaus explained.
Lachlan Star has paid a $50,000 option fee as it decides whether it wants a piece of the pie. The company will have to spend a minimum of $60,000 on exploration to receive a 50 per cent stake in Koojan.
If it wants a further 25 per cent, the company will then have to spend $350,000 on the project within 18 months.
“Lachlan Star is planning a campaign of geological mapping, geochemical sampling and geophysics to rapidly define targets for drill testing,” Klaus added.
In order to pay for the proposed purchase and planned work programs, Lachlan star is aiming to raise $500,000. The company said it has received firm commitments for the placement.
Lachlan Star remains in the grey on the market this morning, trading for 0.7 cents per share at 10:27 am AEST.