Alchemy Resources (ASX:ALY) has received Foreign Investment Review Board approval from the Australian Government regarding the farm-in and joint venture agreement with Japan Organization for Metals and Energy Security (JOGMEC).
JOGMEC is a Japanese government incorporated administrative agency which seeks to secure stable resource supplies for Japan.
During September, the junior mineral explorer locked the deal with JOGMEC for its Roe Hills Project in Western Australia, in which JOGMEC can earn up to 51% in the project by spending $6 million on exploration by the end of March 2029.
The joint venture covers sections of the Roe Hills target areas, encompassing 248km2 of the Karonie Lithium and Gold Project.
Alchemy will be acting as operator of the project during the farm-in period and subject to JOGMEC earning a vested interest in the project, both companies will form a joint venture.
CEO James Wilson says the approval paves the way for Alchemy to progress work on Roe Hills, while being fully funded and supported by JOGMEC’s investment.
“This is a fantastic outcome for Alchemy, and we thank JOGMEC and the Australia Foreign Investment Review Board for such a speedy turnaround, being less than two months since the application was submitted,” Wilson says.
The Roe Hills Project lies along a distinctive structural trend from the pegmatite field that hosts Global Lithium Resources’ (ASX:GL1) Manna lithium deposit. The project’s area is considered to be highly prospective for the discovery of lithium similar to Manna.
Alchemy Resources is an Australian explorer focused on the discovery and development of gold, base and battery metals.
Write to Aaliyah Rogan at Mining.com.au
Images: Alchemy Resources
