Arrow Minerals (ASX:AMD) will finalise heritage agreements for its Turee Creek Iron Ore Project, part of a Pilbara landholding set to exceed 1,600km2.
The company has executed a binding share purchase agreement with Ground Risk to acquire 100% of Roches Resources, which holds tenement applications E52/4473 and E52/4483.
It has also lodged 12 first-in-time exploration licence applications covering 880km2, including ground next to operations held by Rio Tinto (ASX:RIO), Fortescue (ASX:FMG), Mineral Resources (ASX:MIN), and Hancock Prospecting. Three applications sit within 60km of a bulk export port.
Consideration comprises $150,000 in shares, priced at the 10-day volume weighted average price (VWAP) before the announcement and escrowed for six months, plus $20,000 cash to reimburse project costs.
Ground Risk retains a 1.5% gross sales free-on-board royalty, with Arrow holding a first right to acquire it. Completion is due within two months.
Turee Creek lies about 40km along strike from Rio Tinto’s Paraburdoo operations and covers a 48km strike extent of Brockman Iron Formation. Together with Arrow’s applications, the project spans 833km2.
Previous explorers drilled 51 holes for 3,372m, testing less than 5% of the prospective lithology. The best result was 8m @ 54% iron (Fe) from 22m.
All Turee Creek tenure remains in the application phase. Arrow needs heritage agreements with the Yinhawangka and Jidi Jidi Aboriginal Corporations before grant, then a pastoral access agreement for the northern sector.
Desktop work will rank targets, with concealed channel iron deposits likely to be drilled first.
Managing Director David Flanagan says the company is already exploring infrastructure options, including staged exports through Mardie and Utah Point at Port Hedland.
“Our focus will be low capex, shared infrastructure and speed to market,” Flanagan remarks.
Arrow Minerals is an Australian developer advancing bauxite and iron ore projects across Guinea and Western Australia.
Write to JC Villarba at Mining.com.au
Images: Arrow Minerals
