THE BOURSE WHISPERER: Alloy Resources (ASX: AYR) struck a deal with its Joint Venture partner, Doray Minerals (ASX: DRM) over the Horse Well gold project Joint Venture in Western Australia.
Alloy Resources explained that under the deal, it will regain a majority interest and assume management control of exploration at the Horse Well Gold JV, which is located in the north eastern goldfields adjacent to Northern Star’s Jundee Gold Mine.
“We believe the project is one of the best early stage gold exploration properties in the Goldfields with a shallow high-grade Inferred Mineral Resource of 75,000 ounces at 2.76 grams per tonne gold and numerous prospects at various stages of exploration,” Alloy Resources executive chairman Andy Viner said in the company’s announcement to the Australian Securities Exchange.
“Added to this is the project’s excellent location adjacent to new discoveries and growing mining centres at Jundee and Bronzewing.
“We believe the value creation opportunity through continued exploration at Horse Well is compelling.
“The company will now complete the handover and then prioritise exploration activities.
“We have advanced drill targets ready to go at Dusk til Dawn and Warmblood, and also air core drill anomalies up to seven kilometres long which are also ready for infill drilling.
“Perhaps the most intriguing target is the Celia Shear extensions to Overland Resources new high-grade surface quartz vein discovery at Coralie Jean which has only emerged in the last quarter.
“All in all it is a great time to be exploring for gold in Australia and we look forward to delivering lots of activity and exploration success.”