Sarama Resources Consolidates Position in Western Australian Goldfields
Sarama Resources has executed a non-binding Heads of Agreement (HoA) with Orbminco to acquire a majority controlling interest in the 420km² Mt Venn Project in Western Australia's Eastern Goldfields. This acquisition follows Sarama's recent acquisition of the 580km² Cosmo Project, creating a consolidated 1,000km² area in the Laverton Gold District.
The Mt Venn Project, located 35km west of the Gruyere Gold Mine, captures the majority of the underexplored Jutson Rocks Greenstone Belt over ~50km strike length. Gold mineralization was first discovered in the 1920s, with multiple gold occurrences identified throughout the project.
As consideration, Orbminco will receive 12,000,000 Chess Depository Instruments (CDIs) in Sarama. The project is currently operated under a joint venture with Cazaly Resources , holding interests of 80% and 20% respectively. The transaction is subject to various conditions, including regulatory approvals and execution of definitive agreements.
Sarama Resources ha stipulato un accordo preliminare non vincolante (HoA) con Orbminco per acquisire una partecipazione di controllo maggioritaria nel Mt Venn Project, un'area di 420 km² situata negli Eastern Goldfields dell'Australia Occidentale. Questa acquisizione segue quella recente di Sarama del Cosmo Project di 580 km², creando un'area complessiva di 1.000 km² nel Laverton Gold District.
Il Mt Venn Project, situato 35 km a ovest della miniera d'oro di Gruyere, racchiude la maggior parte della Jutson Rocks Greenstone Belt, ancora poco esplorata, su una lunghezza di circa 50 km. La mineralizzazione aurifera è stata scoperta per la prima volta negli anni '20, con molteplici occorrenze d'oro identificate in tutto il progetto.
Come corrispettivo, Orbminco riceverà 12.000.000 di Chess Depository Instruments (CDI) in Sarama. Attualmente, il progetto è gestito in joint venture con Cazaly Resources, che detiene rispettivamente quote del 80% e del 20%. La transazione è soggetta a varie condizioni, tra cui approvazioni normative e stipula di accordi definitivi.
Sarama Resources ha ejecutado un acuerdo preliminar no vinculante (HoA) con Orbminco para adquirir una participación mayoritaria de control en el Mt Venn Project, una área de 420 km² en los Eastern Goldfields de Australia Occidental. Esta adquisición sigue a la reciente compra de Sarama del Cosmo Project de 580 km², creando un área consolidada de 1,000 km² en el Laverton Gold District.
El Mt Venn Project, ubicado a 35 km al oeste de la mina de oro de Gruyere, abarca la mayoría de la Jutson Rocks Greenstone Belt, que está poco explorada, a lo largo de aproximadamente 50 km de extensión. La mineralización de oro fue descubierta por primera vez en la década de 1920, con múltiples ocurrencias de oro identificadas a lo largo del proyecto.
Como contraprestación, Orbminco recibirá 12,000,000 de Chess Depository Instruments (CDIs) en Sarama. Actualmente, el proyecto es operado bajo una asociación conjunta con Cazaly Resources, que posee intereses del 80% y del 20% respectivamente. La transacción está sujeta a diversas condiciones, incluidas aprobaciones regulatorias y la ejecución de acuerdos definitivos.
사라마 리소스는 오르브민코와 비구속적인 합의서(Heads of Agreement, HoA)를 체결하여 서호주 동부 골드필드에 위치한 Mt Venn Project의 대다수 지배 지분을 인수하기로 했습니다. 이 인수는 사라마가 최근 인수한 580km²의 코스모 프로젝트 이후로, 라버턴 금지구역 내에서 1,000km²의 통합된 면적을 형성하고 있습니다.
Mt Venn 프로젝트는 그루예르 금광에서 서쪽으로 35km 떨어진 곳에 위치하며, 약 50km의 스트라이크 길이에 걸쳐 탐사되지 않은 줄스턴 록스 화강암대를 대부분 포함하고 있습니다. 이 프로젝트에서 금 광상은 1920년대에 처음 발견되었으며, 프로젝트 전역에서 여러 곳의 금 발생이 확인되었습니다.
오르브민코는 사라마에서 12,000,000개의 체스 예치 수단(Chess Depository Instruments, CDIs)을 받게 됩니다. 현재 이 프로젝트는 카잘리 리소스와 공동으로 운영되고 있으며, 각각 80%와 20%의 지분을 보유하고 있습니다. 이 거래는 다양한 조건에 따라 진행되며, 여기에는 규제 승인과 최종 계약 체결이 포함됩니다.
Sarama Resources a signé un accord de principe non contraignant (HoA) avec Orbminco pour acquérir une participation contrôlante majoritaire dans le Mt Venn Project d'une superficie de 420 km² dans les Eastern Goldfields d'Australie-Occidentale. Cette acquisition fait suite à la récente acquisition par Sarama du Cosmo Project de 580 km², créant ainsi une superficie consolidée de 1 000 km² dans le Laverton Gold District.
Le Mt Venn Project, situé à 35 km à l'ouest de la mine d'or de Gruyere, couvre la majorité de la ceinture de roches vertes de Jutson, encore peu explorée, sur une distance d'environ 50 km. La minéralisation aurifère a été découverte pour la première fois dans les années 1920, avec de multiples occurrences d'or identifiées tout au long du projet.
En contrepartie, Orbminco recevra 12 000 000 d'instruments de dépôt d'échecs (CDIs) de Sarama. Le projet est actuellement géré en partenariat avec Cazaly Resources, détenant respectivement des intérêts de 80 % et 20 %. La transaction est soumise à diverses conditions, y compris les approbations réglementaires et la signature d'accords définitifs.
Sarama Resources hat eine unverbindliche Absichtserklärung (HoA) mit Orbminco unterzeichnet, um eine Mehrheitsbeteiligung am Mt Venn Project mit einer Fläche von 420 km² in den Eastern Goldfields von Westaustralien zu erwerben. Diese Akquisition folgt auf Saramas kürzliche Übernahme des 580 km² großen Cosmo-Projekts und schafft insgesamt ein Gebiet von 1.000 km² im Laverton Gold District.
Das Mt Venn Project, das 35 km westlich der Gruyere-Goldmine liegt, umfasst den Großteil des wenig erforschten Jutson Rocks Greenstone Belt auf einer Streckenlänge von etwa 50 km. Die Goldmineralisation wurde erstmals in den 1920er Jahren entdeckt, wobei zahlreiche Goldvorkommen im gesamten Projekt identifiziert wurden.
Als Gegenleistung erhält Orbminco 12.000.000 Chess Depository Instruments (CDIs) von Sarama. Das Projekt wird derzeit in einem Joint Venture mit Cazaly Resources betrieben, die jeweils 80 % und 20 % Anteile halten. Die Transaktion unterliegt verschiedenen Bedingungen, darunter regulatorische Genehmigungen und die Ausführung endgültiger Vereinbarungen.
- Acquisition creates a major 1,000km² consolidated position in the prolific Laverton Gold District
- Project location is strategic, being 35km from the significant Gruyere Gold Mine
- Multiple historical gold occurrences demonstrate project prospectivity
- Project includes drill-ready targets from previous exploration work
- Transaction is subject to multiple conditions and approvals
- Non-binding agreement status indicates deal uncertainty
- Company will need to cover A$39,900 in exploration license fees
- Project requires significant exploration work to prove economic viability
Agreement Executed for Acquisition of Majority Interest(1) in Belt-Scale Mt Venn Project
PERTH, AUSTRALIA and VANCOUVER, BC / ACCESSWIRE / January 13, 2025 / Sarama Resources Ltd. ("Sarama" or the "Company") (ASX:SRR)(TSX-V:SWA) is pleased to advise that it has executed a non-binding Heads of Agreement (the "HoA") with Orbminco Limited ("Orbminco") (ASX: OB1), an arm's length third party, to acquire a majority(1) and controlling interest(1) in the under-explored, belt-scale 420km² Mt Venn Project (the "Project")(2), located in the Eastern Goldfields of Western Australia.
This follows Sarama's recent acquisition of a majority interest in the 580km² Cosmo Project, approximately 45km to the west of the Mt Venn Project. Both projects are well-positioned and underexplored, presenting an exciting opportunity for Sarama in the Laverton Gold District which is known for its prolific gold endowment (refer Figure 1).
Highlights
Sarama's President, Executive Chairman, Andrew Dinning commented:
"We are very pleased to have reached agreement to acquire the Mt Venn Project and when completed, this acquisition will significantly consolidate our position in the prolific Laverton Gold District of Western Australia. The addition of this project creates a major 1,000km 2 area-play which significantly enhances the probability of making the next big discovery in a region that continues to deliver new deposits in previously unexplored areas, including the regionally-significant Gruyere Deposit just 35km east of the Mt Venn Project. We look forward to working towards completing the transaction and will provide updates in due course."
Mt Venn Project
The Project is comprised of 3 contiguous exploration tenements covering approximately 420km² in the Eastern Goldfields of Western Australia, approximately 110km north-east of Laverton and 35km west of the regionally- significant Gruyere Gold Mine(3). The Project is readily accessible via the Great Central Road which services the regional area east of Laverton.
The Project captures the majority of the underexplored Jutson Rocks Greenstone Belt over a strike length of ~50km. Rocks within the belt feature a diverse sequence of volcanic lithologies of varying composition, together with pyroclastics and metasediments. Several internal intrusive units have been identified throughout the Project and are commonly associated with local structural features. A regionally extensive shear zone, spanning 1-3km in width, extends the entire length of the belt with subordinate splays interpreted in the southern area of the Project which provides a favourable structural setting for mineralisation.
Gold mineralisation was first discovered in the 1920's with sampling returning very high grades and prompting the commencement of small-scale mining operations in the mid 1920's. Multiple gold occurrences have since been identified throughout the Project, demonstrating the prospectivity of the system. Despite the identification of several km-scale gold-in-soil anomalies by soil geochemistry and auger drilling, many of these targets are yet to be properly tested. Encouragingly, drilling by Cazaly Resources Limited ("Cazaly") (ASX: CAZ) at the Project intersected broad, gold mineralisation over several fences in weathered and fresh rock at the Three Bears Prospect, presenting a priority target for exploration (Cazaly news release 27 February 2017: "Widespread Gold & Zinc Mineralisation Defined").
In addition to the attractiveness of the Project for gold, it is considered prospective for base metals and platinum group elements. Historical exploration work including auger geochemistry and geophysical surveys identified several targets for copper, nickel and zinc mineralisation. Several of these targets remain untested due to historical funding and land access constraints. Exploration in the belt to the immediate south of the Project area is noted to have intersected copper mineralisation of significant grade over a significant strike length (4).
In summary, the Project is located within a prolific gold district and has a favourable lithological and structural setting. A solid database of base-level historical exploration work by previous operators, including generation of drill-ready targets, provides a good platform for Sarama to advance the Project in conjunction with its activities at the Cosmo Project. The size and prospectivity of the landholding that Sarama will have in the Laverton Gold District upon completion of this transaction significantly enhances the chances of making an economic discovery, particularly given the infrastructure and proliferation of mines in the region which will have a favourable impact on the size threshold for finding something of economic value.
Figure 1 - Mt Venn and Cosmo Project Locations, Eastern Goldfields, Western Australia
Transaction & Joint Venture Summary
Transaction Details
Orbminco's interest in the Project is held through the participation of its
The HoA contemplates that a nominee of Sarama be assigned (as provided for in the JV agreement) all of Yamarna's rights, entitlements and obligations under the JV (and associated Native Title Access Agreement(s)) in return for consideration as set out below (the "Transaction"). The mineral tenements subject to the JV, which are currently held
As consideration for the assignment of its interests in the JV, Orbminco, or its nominee, will receive 12,000,000 Chess Depository Instruments ("CDIs") in Sarama (the "Consideration Securities"). Each Consideration Security issued to Orbminco, or its nominee, in connection with the Transaction will rank equally with existing Sarama CDIs and each Consideration Security will represent a beneficial interest of 1 common share in Sarama.
Orbminco has granted Sarama a right of exclusivity commencing the date of execution of the HoA and ending after a period of 4-months or the date of execution of a binding agreement in respect of the Transaction, whichever is earlier. In return for this right of exclusivity, Sarama has agreed to make a non-refundable cash payment of A
The Transaction is an arm's length acquisition which is expected to constitute an Expedited Acquisition pursuant to TSX Venture Exchange Policy 5.3 - Acquisitions and Disposition of Non-Cash Assets. No finder's fees will be paid in connection with the completion of the Transaction.
Completion of the Transaction will be subject to the satisfaction or waiver by Sarama of the following key conditions:
execution of a definitive binding agreement for the Transaction;
receipt of Orbminco Board and shareholder approval for the Transaction, if required;
receipt of TSX Venture Exchange final acceptance of the Transaction and issuance of the Consideration Securities;
receipt of Sarama Board and shareholder approval for the issue of the CDIs as consideration for the Transaction;
complete assignment of all applicable Native Title Access Agreements affecting the Project;
execution of an assignment deed/agreement by Yamarna and Cazaly for Yamarna's interest in the Project JV;
receipt of confirmation by Orbminco that it has not novated, assigned or otherwise changed the structure or holding of Yamarna's interest in the JV or Project from the date of its entry into the JV;
receipt of unconditional guarantee by Orbminco that it will be responsible for any debts and liabilities that have been incurred by Yamarna in relation to the Project JV up to the date of completion of the Transaction; and
receipt of government extension/renewal notices covering new annual periods for tenements E38/3150 and E38/3581.
Project Joint Venture Structure
The Project is currently in exploration phase and is operated by Yamarna as an unincorporated joint venture in which Yamarna and Cazaly hold interests of
At present, Yamarna is responsible for all costs incurred by the JV until the completion of a Pre-Feasibility Study on the Project (the "Free Carry Period"). At that point, Cazaly may elect to start contributing its pro-rata share of future JV expenditure to maintain its
Following the end of the Free Carry Period and in the event Cazaly has elected to contribute its pro rata share of Project costs, the JV participants will be subject to industry standard ‘contribute or dilute' provisions in respect of their interests. In the event a JV participant's interest falls below
The JV agreement includes customary protections for the participants associated with, but not limited to, surrender of mineral tenements, disposals of JV property and assets, material revisions to approved work programs and budgets, change of operatorship and decision to mine.
For further information, please contact:
Sarama Resources Ltd |
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FOOTNOTES
The Project's Exploration Licences are currently held
100% by Yamarna but are subject to the joint venture agreement between Yamarna and Cazaly under which the parties have joint venture interests of80% and20% respectively. The Transaction contemplates Sarama (or its nominee) being assigned Orbminco's joint venture interests and continuing under the existing joint venture agreement with Cazaly.The Project is comprised of the following contiguous Exploration Licences: E38/3111, E38/3150 and E38/3581 covering approximately 420km².
Gruyere Project Mineral Resources December 2023: 113.3Mt @ 1.32g/t Au for 4.8Moz Au (Measured & Indicated) and 68.6Mt @ 1.44g/t Au for 3.2Moz (Inferred) (December 2023 Quarterly Report, Gold Road Resources Limited, 29 January 2024).
Cosmo Metals Limited News Release 4 November 2022.
CAUTION REGARDING FORWARD LOOKING INFORMATION
Information in this news release that is not a statement of historical fact constitutes forward-looking information. Such forward-looking information includes, but is not limited to, statements regarding the prospectivity of the Mt Venn and Cosmo Projects, information with respect to Sarama's planned exploration activities, having or acquiring mineral interests in areas which are considered highly prospective for gold and other commodities and which remain underexplored, costs and timing of future exploration, the potential for exploration discoveries and generation of targets, the intention to gain the best commercial outcome for shareholders of the Company, timing and receipt of various approvals, consents and permits under applicable legislation and the completion of a transaction to acquire an interest in the Mt Venn Project. Actual results, performance or achievements of the Company may vary from the results suggested by such forward-looking statements due to known and unknown risks, uncertainties and other factors. Such factors include, among others, that the business of exploration for gold and other precious minerals involves a high degree of risk and is highly speculative in nature; Mineral Resources are not mineral reserves, they do not have demonstrated economic viability, and there is no certainty that they can be upgraded to mineral reserves through continued exploration; few properties that are explored are ultimately developed into producing mines; geological factors; the actual results of current and future exploration; changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents.
There can be no assurance that any mineralisation that is discovered will be proven to be economic, or that future required regulatory licensing or approvals will be obtained. However, the Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable. Assumptions have been made regarding, among other things, the Company's ability to carry on its exploration activities, the sufficiency of funding, the timely receipt of required approvals, the price of gold and other precious metals, that the Company will not be affected by adverse political and security-related events, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain further financing as and when required and on reasonable terms. Readers should not place undue reliance on forward-looking information. Sarama does not undertake to update any forward-looking information, except as required by applicable laws.
QUALIFIED PERSON'S STATEMENT
Scientific or technical information in this disclosure that relates to exploration is based on information compiled or approved by Paul Schmiede. Paul Schmiede is an employee of Sarama Resources Ltd and is a Fellow in good standing of the Australasian Institute of Mining and Metallurgy. Paul Schmiede has sufficient experience which is relevant to the commodity, style of mineralisation under consideration and activity which he is undertaking to qualify as a Qualified Person under National Instrument 43-101. Paul Schmiede consents to the inclusion in this news release of the information in the form and context in which it appears.
This announcement has been authorised by the Board of Sarama Resources.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Sarama Resources Ltd.
View the original press release on accesswire.com
FAQ
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