- Rex Minerals has entered a non-binding Heads of Agreement (HOA) to complete due diligence and finalise commercial terms to acquire Hog Ranch Group
- Rex will acquire Hog Ranch's gold project in Nevada which is known to host a large zone of low-grade gold mineralisation
- The company see the acquisition as a strategic fit for its portfolio
- The non-binding HOA gives Rex exclusivity until September 30 2019
Rex Minerals has entered a non-binding Heads of Agreement (HOA) to complete due diligence and finalise commercial terms to acquire Hog Ranch Group.
The company's decision to acquire Hog Ranch is to obtain the Hog Ranch Gold Project in Nevada, USA.
The Hog Ranch Gold Project has produced approximately 200,000 ounces of gold. Rex considers this as a highly prospective investment and a strategic fit with the company's Hillside Copper-Gold Project in South Australia.
Nevada is known to be a destination for successful gold exploration, discovery and production. The Hog Ranch project provides 'camp-scale' opportunities for small and large low-grade surface projects as well as high-grade underground epithermal deposits.
Mining completed by Western Mining Corporation from 1988-1994 included drilling of over 2,575 holes. Assay results indicated there is a large blanket of low-grade gold mineralisation. Rex is currently working to complete an initial Mineral Resource estimate based on the large historical database.
Purchasing rights to this project offers Rex's investors exposure to the gold sector in a very well-endowed gold region.
The agreement allows Rex exclusivity to complete due diligence and finalise commercial terms in preparation to acquire Hog Ranch Group. The company has until September 30 2019.