Horizon Minerals Limited (ASX:HRZ) is pleased to announce a number of acquisitions and divestments in line with the regional consolidation strategy focussed on gold in the Western Australian goldfields (Figure 1*).
HIGHLIGHTS
– Company completes a number of acquisitions and divestments as part of its regional consolidation strategy focused on gold in the Western Australian Goldfields
– Tenement Sale Agreement completed with private consortium for the acquisition of the Phoenix Gold Mine, 5km north of Coolgardie for $80,000 cash:
o Phoenix has historically been worked as a small narrow vein underground mine with historic production grades over 50g/t Au and limited exploration below 100m depth
– Tenement Sale Agreement executed with Tasex Pty Ltd for the acquisition of the Parkeston and Perkolilli prospects, 5km south of Kanowna Belle for $85,000 cash:
o Tenure covers 20km2 contiguous with the Company’s 100% owned Boorara project
– Kanowna West exploration license E26/220 now granted, Broadarrow prospecting License P24/5348 acquired for $8,000 cash and three Blue Dam prospecting licenses acquired for $9,000 cash
– Divestment of non-core Area 54 prospect, 70km NW of Coolgardie to Gold Tiger Ltd for $120,000 cash payable over four years and spending a minimum of $300,000 over the same period to earn 90%
– Divestment of Prospecting License P24/5116 immediately west of the Eureka gold mine to Warriedar Mining Pty Ltd for $200,000 in shares. Warriedar acquired by TNT Mines Ltd (ASX:TIN) with Horizon now holding 1.52 million shares in TIN
– Detailed assessment of new projects underway with drilling in the June Quarter 2021
Commenting on the acquisitions and divestments, Managing Director Mr Jon Price said: “Horizon’s intimate knowledge and experience in the WA goldfields region has enabled a number of value accretive acquisitions to be completed in line with our regional consolidation strategy.
“The Company is also pragmatic and open to divestment of non-core assets that have another natural owner and the deal with Warriedar/TNT Metals enables them to progress with development plans at Eureka with Horizon shareholders retaining upside through our TNT shareholding.”
“The Horizon team has done an excellent job building the asset portfolio with these latest deals essentially cash positive and we will continue to work with our neighbours for mutual gain.”
Since 2016, the Company has added over 600km2 of tenure to the asset portfolio on major geological structures, all located within 75km of the proposed Boorara mill site being evaluated as part of the consolidated Feasibility Study. The aim is to build a strong pipeline of development assets underpinning a long-term sustainable production profile and adding to that pipeline organically through large scale resource growth and new discovery exploration programs.
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