THE BOURSE WHISPERER: Transol Corporation (ASX: TNC) has elected to exercise its option to acquire 100 per cent of the Southern Cross Bore project, which includes the Johnnies Reward gold prospect, from unlisted company Davenport Resources.
The Johnnies Reward prospect is located 75 kilometres north-east of Alice Springs in the Northern Territory in the Arunta mineral province where recent exploration for IOCG (iron oxide-copper gold) and SEDEX-style mineralisation has yielded promising results.
Recent exploration activity in the region includes recent drilling results reported by Kidman Resources (ASX: KDR) at its Home of Bullion prospect, located north of Johnnies Reward.
Transol said it had decided to acquire 100 per cent of Johnnies Reward following results returned from drilling undertaken at the project since mid-2012.
The company has completed two phases of Reverse Circulation (RC) drilling, which have returning encouraging intercepts including:
– 24 metres at 4.19 grams per tonne gold and 0.33 per cent copper;
– 34m at 3.83g/t gold and 0.46 per cent copper; and
– 22m at 1.23g/t gold and 1.21 per cent copper.
Transol indicated it has identified a number of exploration prospects in close proximity to the known mineralisation at Johnnies Reward, which include the Black Angus anomaly.
Black Angus is considered to be a target of some priority by Transol and is located 1.5km to the north of Johnnies Reward.
The acquisition also includes 100 per cent of the historic Hatches Creek tungsten project, located 325km north-east of Alice Springs.
Johnnies Reward project and Hatches Creek project locations. Source: Company announcement
“The completion of this transaction will see Transol put in place the final element of its plan to reposition as a focused gold-copper explorer in the Northern Territory with 100 per cent ownership of a significant emerging mineral discovery located close to Alice Springs with excellent logistics and existing infrastructure,” Transol Corporation said in its ASX announcement.
“Aggressive exploration activities are planned during 2013, providing strong news flow and activity over the coming 12 months.”