Pioneer Resources completes Western Mt Jewell sale

THE DRILL SERGEANT: Pioneer Resources has pumped up its coffers following the completion of the sale of the Western Mt Jewell project to Carrick Gold.

The company has received the first instalment of $4.5 million, which means it now has cash reserves exceeding $7 million and no debt.

Pioneer’s bank balance will benefit from an additional $3.5 million that it is due in scheduled instalments to be received over the next three years.

“The completion of the sale of the Western Mt Jewell project puts Pioneer in a very strong financial position and underpins our exploration activities in a difficult global financial market,” Pioneer Resources managing director David Crook said in the company’s announcement to the Australian Securities Exchange.

Pioneer said it will now be focussing its attention on the company’s Gindalbie and Juglah Dome projects, located near Kalgoorlie in Western Australia.

 

Pioneer’s tenement portfolio near Kalgoorlie, Western Australia. Source Company announcement

 

During May and early June the company completed a program of 280 RAB drill holes for 12,000m testing new gold targets.

Approximately 4,000 samples from this drilling are currently with a Perth laboratory and Pioneer said it expects to receive gold assay results later this month.

“The company is focussed, funded and active, and looks forward to providing the market with steady news flow in the near term and on an on-going basis,” Crook said.