THE BOURSE WHISPERER: Cobre Montana (ASX: CXB) has entered into a strategic partnership, the Seabrook Rare Metals Venture, with ASX-listed Tungsten Mining (ASX: TGN).
The companies will explore for lithium and other metals on the shores of Lake Seabrook, located approximately 60 kilometres north-east of Southern Cross in Western Australia.
According to Cobre the partnership will extend its interest to a 15km strike potential as well as providing the company immediate access to granted tenure.
In October, Cobre lodged an exploration licence application for prospective ground at Lake Seabrook, covering pegmatites, which it considers to contain lithium mica, beryl and tourmaline.
The initial target area was about 5km long and 2km wide.
“The mineralized zone trends north westerly from the Cobre Montana application area, beneath the lake bed and into ground held by TGN with surface expression over a further seven kilometres,” Cobre Montana said in its ASX announcement.
“The mineralisation appears to be associated with an extensive shear zone and consists of pegmatites and metasomatically altered country rock.
“On the ground held by TGN, the mineralisation is manifest as tungsten bearing skarns which also contain a number of other rare metals, typical of the genesis associated with the pegmatites.”
The Seabrook Rare Metals Venture provides Cobre with the right to earn an 80 per cent interest to all metals other than tungsten, the right of which remain or are vested in TGN.
The fundamental terms of the agreement are:
CXB to manage the joint land package and be responsible for maintaining the tenements in good standing;
An area of influence around the TGN tenements of 20km;
CXB is to sole fund to the commencement of definitive feasibility study;
On committing to a definitive feasibility study conversion to an 80/20 (CXB/TGN) contributing JV for development of non-tungsten minerals;
TGN retains 100 per cent interest in tungsten and retains right to continue operations for the discovery and development of tungsten within the area of interest; and
CXB to provide all exploration data to TGN.