THE BOURSE WHISPERER: Black Cat Syndicate (ASX: BC8) has entered into a binding agreement with Aruma Resources (ASX: AAJ) to acquire that company’s Trojan, Slate Dam and Clinker Hill gold projects in Western Australia.
The acquisition is subject to meeting certain conditions, such as the projects in question will be acquired by and held by Black Cat (Bulong) Pty Ltd, a wholly owned subsidiary of Black Cat.
The acquisition will complete upon approval or in principle approval of the Minister for the transfer of the tenements.
The deal comprises three key areas:
The Trojan project contains 115,000 ounces of Resource and is located approximately 15 kilometres by road east of Black Cat’s Fingals gold project, which is the likely location of the company’s planned processing facility.
The Slate Dam project is located some 10km to the east of the Bulong gold project and is an advanced exploration project over prospective areas of the underexplored Lake Yindarlgooda.
The Clinker Hill is also nice and close to the Fingals gold project and is an early stage exploration project containing structures that link the million-ounce Mt Monger mining centre with the Bulong gold project.
Once the acquisition is completed, Black Cat’s landholding will increase from 499 square kilometres to 756sqkm.
Trojan has a Resource of 2.1 million tonnes at 1.7 grams per tonne gold for 115,000 ounces and will increase Black Cat’s total Resources by 16 per cent to 10.8 million tonnes at 2.4g/t gold for 826,000 ounces.
Black Cat has paid a non-refundable deposit of $50,000 upon signing, with a balance of $450,000 payable at completion, which is expected to occur in early October 2020.
“This acquisition accelerates Black Cat’s move towards a target of more than one million ounces of Resources,” Black Cat Syndicate managing director Gareth Solly said in the company’s announcement to the Australian Securities Exchange.
“The Trojan deposit has strong synergies to our Fingals gold project, presents a near-term mining opportunity with 115,000 ounces in Resource on a granted mining lease and will become part of our larger Fingals gold project.
“The acquisition increases our total Resources to 826,000 ounces.
“We will rank the acquired exploration and mining opportunities concurrently with our 60,000 metres drilling campaign and mining studies across the Bulong and Fingals gold projects.”
TO READ THE FULL ANNOUNCEMENT: CLICK HERE