THE BOURSE WHISPERER: Coziron Resources has entered into agreements that will result in the acquisition of three separate projects in Western Australia.
The purchases will come at the cost of a total consideration of 500 million shares at a deemed value of $15 million, together with an ongoing free carried interest for the vendors of 15 per cent through until the conclusion of any Bankable Feasibility Study on each of the three projects.
“It is rare that the opportunity to acquire project footprints of this quality is presented to a company,” Coziron Resources chairman Adam Sierakowski said in the company’s announcement to the Australian Securities Exchange.
“We believe the suite of projects have enormous exploration potential given the location of the projects are in some cases immediately adjacent to some of the world’s largest resource groups and operating mines.”
Coziron has entered into an agreement to acquire 100 per cent of Zanthus.
Zanthus holds seven contiguous granted exploration tenements and two granted prospecting licenses in the iron producing Hamersley Basin of the Pilbara region.
The second agreement the company has entered into is one to acquire 100 per cent of Buddadoo.
Buddadoo location map. Source: Company announcement
Buddadoo has 100 per cent ownership of and exploration licence located 180 kilometres east of Geraldton and 70 kilometres from existing railway at either Morawa or Pindar.
According to Coziron the exploration licence contains:
1. A layered mafic complex with outcropping magnetite horizons on which:
– Assays of up to 54 per cent iron have been obtained from massive magnetite outcrop over 8km strike;
– Recent drilling intersected 108 metres at 32.9 per cent iron, 0.2 per cent vanadium and 12.1 per cent titanium;
2. A Volcanogenic Massive Sulphide copper-zinc target with past drill results of:
– 5.5 metres at 3.4 per cent zinc from 99 metres to 104.5 metres;
– 3.15 m at 3.8 per cent copper from 188.7m to 191.85m; and
– 1m at 1.75 per cent copper and 4.4 grams per tonne gold from 237.3m to 238.3m.
The final acquisition completing the set is KingX, which holds 12 contiguous pending tenements in the southern Earaheedy Basin on the margin of the Yilgarn craton 120km northeast of Wiluna.
The Ground holding totals 965 blocks prospective for sedimentary manganese and iron ore deposits.
KingX holds 4 granted tenements and eight applications.