Krucible Metals to acquire advanced tungsten project

THE BOURSE WHISPERER: Krucible Metals (ASX: KRB) has entered into a binding agreement with Resolve Geo Pty Ltd to acquire two advanced Exploration Licences with a database of mining and exploration information known as the Torrington tungsten project.

Krucible will hold 100 per cent of Exploration Licences 8258 and 8355 on completion of the transaction.

Krucible is to acquire the project for the initial issue of 12 million fully paid ordinary shares in the company and, subject to shareholder approval, up to a further 12 million shares to be issued at a later date on the satisfaction of particular milestones.

Krucible will also reimburse Resolve $135,000 in past exploration expenses.

The Torrington project is located in New South Wales approximately 35 kilometres south of the Queensland border near the NSW town of Tenterfield.

In its ASX announcement Krucible indicated it intends to immediately begin an intensive exploration drilling program to increase the Torrington project’s present JORC resource base.

“The project area encompasses numerous old shallow Tungsten mines and contains a small JORC 2012 tungsten (and topaz) Resource and sizeable exploration target with the potential for significant exploration upside in the short term from the company’s proposed exploration plan and revised resource modelling,” Krucible said.