THE BOURSE WHISPERER: Magmatic Resources (ASX: MAG) has entered into a binding agreement with Montezuma Mining Company (ASX: MZM) to acquire a key landholding at the Mt Venn Intrusion, east of Laverton in WA
Magmatic Resources will assume 100 per cent-ownership of E38/2961, an acquisition the company said represents the commencement of a clear and defined strategy to build a portfolio of Australian based assets that complement its East Lachlan tenements, with a focus on gold and base metals.
Magmatic’s Mt Venn project sits immediately along strike from the recent Mt Venn discovery by Great Boulder Resources (ASX: GBR) that yielded wide zones of primary copper-nickel-cobalt sulphide mineralisation.
The company indicated that E38/2961 accounts for over 60 per cent of the Mt Venn Intrusion currently being explored by Great Boulder Resources.
Previous exploration at E38/2961 highlighted numerous copper–nickel–cobalt prospects.
Sampling of Mt Venn gossan outcrop by previous explorers returned best grades of 24 per cent copper, 13.2 per cent copper, 8.3 per cent copper, and 6.7 per cent copper.
Detailed ground EM and heliborne VTEM surveys by previous explorers also identified multiple conductors, some of which remain untested, or with minimal follow-up and sit along seven kilometres of prospective strike.
Magmatic believes that E38/2961 represents a decisive, near-term exploration opportunity where it intends to commence fieldwork to build on the previous exploration datasets.
Magmatic plans to complete initial fieldwork, reprocess EM and VTEM data, and then complete an RC drilling program.
“We are all very excited about the Mt Venn copper – nickel – cobalt project acquisition,” Magmatic Resources managing director David Richardson said in the company’s announcement to the Australian Securities Exchange.
“The project complements our existing portfolio of gold and base metals project in the East Lachlan.
“The opportunity to explore the Mt Venn Intrusion, especially having secured over 60 per cent of the complex, gives Magmatic immediate access to what is considered one of the best areas in Australia to explore for copper, nickel and cobalt.
“The work that Great Boulder Resources have already done on the southern section of the Mt Venn Intrusion has yielded outstanding results that we are keen to add to.”