Kincora partners with AngloGold on NJNB project in Australia

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Kincora’s portfolio includes district-scale landholdings successful some Australia and Mongolia. Credit: Kincora Copper

Kincora Copper (TSXV: KCC) (ASX: KCC) has secured a cardinal partner successful AngloGold Ashanti (AngloGold) (NYSE: AU; JSE: ANG) for its Northern Junee-Narromine Belt (NJNB) copper-gold task successful Australia.

In a property merchandise Tuesday, Kincora said nan companies person executed a definitive statement nether which AngloGold whitethorn gain up to 80% of nan Nyngan and Nevertire licences that shape nan NJNB task successful 2 phases.

Following nan announcement, shares of Kincora Copper shot up 57% to C$0.055 apiece arsenic of 3 p.m. EDT, for a marketplace capitalization of C$11.9 cardinal ($8.7m).

In nan first phase, AngloGold whitethorn gain a 70% liking by incurring A$25 million in full expenditure connected exploration for up to 7 years, upon which a associated task would beryllium formed. This includes a minimum expenditure of A$2 million within nan first 2 years, during which Kincora will run and behaviour each exploration activities and beryllium entitled to a 10% guidance fee.

In nan 2nd phase, AngloGold tin past gain an further 10% liking by either completing a pre-feasibility study (PFS) aliases by backing a further A$25 million of expenditure complete an further 3 years, which would bring its full spending to A$50 million.

Under nan agreement, nan Kincora squad will drill trial a wide scope of ample intrusive-related copper-gold targets. According to nan company, nan spot hosts 2 of nan very fewer remaining, almost untested, volcano-intrusive complexes of nan Macquarie Arc, a renowned porphyry district in Australia.

Kincora was nan early entrant securing a district-scale position successful nan interpreted shallow to mean covered halfway sections of nan NJNB by pegging nan Nyngan and Nevertire licences. Also pegging nan area are Fortescue Metals Group (ASX: FMG) and Inflection Resources (CSE: AUCU).

For AngloGold, it has now secured earn-in and JV agreements pinch some Kincora and Inflection covering astir 8,000 sq. km. crossed nan NJNB.

Over nan past 12 months, nan miner has spent complete A$6 cardinal successful exploration of nan Inflection statement area, pinch further drilling planned soon astatine nan Duck Creek and Moonagee prospects, which separately abut Kincora’s Nyngan licence.

“AngloGold, a successful greenfield explorer, is already investing successful nan loop pinch drilling programs connected neighbouring projects and intelligibly shares our position of nan NJNB having nan imaginable to output a caller territory of Tier-1 gold-rich copper porphyry strategy discoveries,” John Holliday, method committee chair, and Peter Leaman, VP of exploration, stated.

The copper-gold imaginable of nan NJNB and bluish hold of nan Molong loop is opening to beryllium recognized arsenic they comparison highly favourably to different world porphyry basking spots for exploration and development, it said.

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Source Mining News
Mining News