THE BOURSE WHISPERER: Antipa Minerals (ASX: AZY) has entered into an agreement with Yandal Investments Pty Ltd, a company owned and controlled by Western Australian prospecting supremo Mark Creasy.
The deal will result in Antipa acquiring 100 per cent Kitchener Resources for the consideration of a one per cent net smelter royalty over the area covered by Kitchener Resources’ applications and the issue of 10 million shares in Antipa at an issue price of 5.5 cents per share.
The outcome of all this will be Yandal owning a 5.1 per cent stake in Antipa Minerals.
“The acquisition will position Antipa as the dominant tenement holder in the Paterson Province in the Pilbara region of Western Australia, with a combined landholding of 6,300 square kilometres in a highly-prospective area near the world class Telfer gold-copper mine,” Antipa Minerals managing director Roger Mason said in the company’s announcement to the Australian Securities Exchange.
“We are pleased to acquire such an exciting exploration package which cements our position as the preeminent landholder in the Paterson Province.
“We also welcome Mr Mark Creasy, through Yandal Investments, as a substantial shareholder in our company and thank him for his endorsement of the huge potential of the company and its exploration skills.”
Kitchener Resources holds 15 exploration licence applications over an area of around 3,367sqkm in the Paterson Province of WA.
Location of Antipa and Kitchener Resources tenements. Source: Company announcement
Antipa explained the Kitchener ground is largely adjacent to and connects with the company’s existing mineral tenements and applications.
The Southern applications include substantial areas around the Telfer Dome, the domal structure upon which the Telfer gold-copper mine is situated.
Antipa said the majority of the southern applications have only thin cover over the geological targets of interest which the company anticipates will assist in the exploration of the ground and, upon success, would facilitate a decrease in pre-production startup costs.
The ground has been predominantly vacant from as early as 1993 with little or no exploration for up to 20 years offering first user advantage for the modern state of the art geophysical exploration techniques, which Antipa intends to use.
The company attributed its exploration success last year, when it discovered its Calibre and Corker projects to the application of these modern techniques.