THE BOURSE WHISPERER: Rumble Resources has reached agreement on the terms of a joint venture and earn-in agreement with Canyon Resources that will allow it to earn a 75 per cent interest in the Derosa project in Burkina Faso.
Rumble said the Joint Venture will provide it with an early stage exploration opportunity as well as providing a platform for further acquisitions or similar deals.
Project location. Source: Company announcement
The company conducted initial due diligence on Canyon Resource’s Derosa project with two site visits and a comprehensive interpretation of the licence areas as well as the evaluation of Burkina Faso’s infrastructure, stability and local mining laws.
Rumble said it came to the conclusion that Burkina Faso is a highly attractive region for gold exploration.
“The Derosa project provides Rumble with an opportunity to establish itself in one of the fastest emerging gold provinces in the World,” Rumble Resources managing director Andrew McBain said in the company’s announcement to the Australian Securities Exchange.
“Rumble’s expansion into Burkina Faso is an exciting development for shareholders and is complimentary to Rumble’s existing Australian gold and base metal projects.”
The Joint Venture remains subject to the successful completion of a final due diligence period of up to six weeks from the execution of the Agreement (however this due diligence may be waived by written agreement of the parties) as well as ASX regulatory approvals or conditions.