THE BOURSE WHISPERER: Emmerson Resources (ASX: ERM) has reaffirmed the terms of its Tennant Creek exploration Joint Venture in the Northern Territory with JV partner Ivanhoe Australia (ASX: IVA).
Emmerson said the JV remains committed to the advancement of regional greenfields exploration within its extensive package of tenements.
Ivanhoe has spent $18 million in the past 3 years, which has resulted in that company earning its 51 per cent interest on certain tenements in the Tennant Creek Mineral Field.
Ivanhoe has agreed to sole-fund a further $10 million the Joint Venture will put towards accelerating testing of a portfolio of new projects.
The JV has indicated two parallel exploration programs will commence in the 2013 field season.
– The continuation of drilling at Emmerson’s 100 per cent-owned and sole-funded areas including the Goanna, Monitor discoveries and the Gecko and Orlando deposits, which contain current JORC resources of 50,800 tonnes of copper and 70,000 ounces of gold. These deposits are in close proximity to the 100 per cent-owned Warrego mill which is currently on care and maintenance; and
– Exploration on regional greenfields areas funded by Ivanhoe but managed by Emmerson.
“We are very pleased that Ivanhoe Australia continues to strongly support the Tennant Creek exploration program and maintain the faith that the region can produce globally significant mineral discoveries,” Emmerson Resources managing director Rob Bills said in the company’s announcement to the Australian Securities Exchange.
“We believe the recent discoveries of Monitor and Goanna by Emmerson within our sole fund blocks is an indicator of the potential within the wider Joint Venture area.”
Source: Company announcement
Emmerson and Ivanhoe Australia will continue to share technical capabilities.
The JV partners have scheduled a joint ‘targeting workshop’ to be held early in 2013, during which they hope to identify a portfolio of ‘Tier 1’ projects as priority drill targets for future exploration within the jointly owned areas.
A minimum $500,000 (funded by Ivanhoe) will be spent in 2013 on drilling and geophysics to test these targets.
The remainder of Ivanhoe’s $10 million will be spent on identifying and drill testing a portfolio of Tier 1 targets during the following years.
Emmerson Resources will retain all rights to take out further sole-fund blocks from the Joint Venture areas and will continue to act as agent for the JV.