Regis Resources Limited (ASX: RRL) (“Regis” or “the Company”) is pleased to announce the Company has entered into agreements (Acquisition Agreements) to acquire tenements that form part of Stone Resources Australia Limited’s (ASX: SHK) (“SRAL”) North Brightstar Project located north of Laverton, Western Australia. Regis has acquired the project area for $10 million in Regis shares and a capped 1% net smelter royalty on M38/339 which hosts the Ben Hur Deposit. The royalty will begin to be paid after the production of the first 100,000 ounces from M38/339.
- Acquisition of valuable resource and tenement holdings from Stone Resources Australia (ASX: SHK) for $10M in RRL shares and a capped 1% NSR royalty payable after the first 100,000 ounces of production
- Acquisition includes the Ben Hur Mineral Resource – 5.8Mt @ 1.6 g/t Au for 290koz1 (JORC2012 Standard) which has potential to add further life to the Duketon Operations
- Expands further the ongoing Duketon Greenstone Belt (DGB) exploration programme and consolidates the DGB for Regis<
- Immediate work on the tenement holding will commence once the acquisition is completed and will include infill drilling that seeks to upgrade and extend the resources.
Regis Managing Director, Mr Jim Beyer commented: “The acquisition of this resource and tenement package is significant to us. The deal will enable Regis to potentially add the Ben Hur deposit to the Duketon Operation production portfolio. At the same time the exploration tenure acquired with the Ben Hur deposit has the potential for additional ounces to be discovered and added to our already substantial Resource and Reserve holdings. We are very excited by the potential for exploration success and I look forward to keeping investors informed as we move forward on these tenements.”
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1.The Mineral Resources were estimated by CSA Global Pty Ltd – ASX:SHK Release 5 June 2014