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- Mithril Resources has entered into an earn-in agreement with Great Boulder Resources for the Lignum Dam Project
- Great Boulder can earn up to 80 per cent interest in Lignum Dam if they spend $1 million over four years on the project
- Lignum Dam is located 60 kilometres northeast of Kalgoorlie
Mithril Resources has entered into an earn-in agreement with Great Boulder Resources for the Lignum Dam Project.
Great Boulder can earn up to 80 per cent interest in Lignum Dam if they spend $1 million over four years on the project.
Lignum Dam is located 60 kilometres northeast of Kalgoorlie in Western Australia and is prospective for both nickel sulphide and lode gold mineralisation.
The project lies along the strike from the previously mined high-grade Silver Swan nickel deposit.
Great Boulder can earn a 51 per cent of the project by spending $400,000 over two years.
It can then earn another 29 per cent by spending an additional $600,000 over a further two years.
If Great Boulder wishes to withdraw from the agreement it must spend a minimum of $120,000.
Upon Great Boulder reaching 80 per cent, Mithril will be free carried until completion of a Bankable Feasibility Study (BFS).
Following completion of a BFS, Mithril can elect to contribute on a pro-rata basis or convert its interest into a 1.5 per cent Net Smelter Royalty.
Mithril Managing Director David Hutton is pleased to have a new exploration partner.
“The earn-in agreement is in line with Mithril’s strategy of seeking exploration funding partners for and /or divesting its low-priority projects to ensure that the Company remains focused on its 100% – owned Billy Hills Zinc Project,” he said.
Mithril is an exploration company who has zinc, nickel, copper and vanadium deposits around Western Australia. It’s main focus is the Billy Hills Zinc Porjec, in West Kimberley, where multiple targets have been identified for follow-up.
Great Boulder is a new mineral exploration company, with a primary focus on exploration and discovery of nickel-copper-cobalt and gold resources within the Eastern Goldfields Region of Western Australia.
“Great Boulder Resources has a quality exploration team and I look forward to them driving the nickel and gold search at Lignum Dam over the coming years,” David added.
Mithril says that Great Boulder will explore the Lignum Dam Project in conjunction with their adjoining Whiteheads Project.
