THE BOURSE WHISPERER: Superior Resources (ASX: SPQ) has entered into a Farm-in and Joint Venture Agreement with Teck Australia, a wholly-owned subsidiary of Canadian major resource company, Teck Resources.
The deal involves exploration over Superior’s Nicholson zinc-lead-copper project in north-west Queensland.
Previous drilling of the Walford South prospect by Superior has confirmed the presence of substantial amounts of pyritic shale and low grade zinc mineralisation, which are often associated with such styles of mineralisation.
The company has also completed an airborne VTEM survey over the Nicholson West prospect, which identified a moderately deep conductivity anomaly.
Superior considers these results, together with outcropping rocks containing vein-lead mineralisation, suggest the potential of the project to host stratiform zinc-lead mineralisation.
“We are delighted to have Teck as a partner, being one of the world’s largest zinc producers, to explore one of the company’s key zinc projects,” Superior Resources managing director Peter Hwang said in the company’s announcement to the Australian Securities Exchange.
“Teck, who are global leaders in zinc expertise and capability, are probably the most active of the large companies currently exploring for zinc in Australia.
“The finalisation of the agreement with Teck Australia is a significant milestone for the company and good timing as the company expedites the implementation of its zinc strategy.
“We have committed an extensive amount of our efforts to secure an appropriate major for our zinc projects and we consider Teck to be the perfect partner to complement our objectives of discovering the next Mount Isa deposit.”
Superior said the deal would provide it with room to now its resources on the larger Victor project, also located in north west Queensland as well as the Riesling zinc-lead-copper project in north east Queensland.