Australian manganese explorer Black Canyon (ASX:BCA) has earnt a 75% interest in the Carawine Joint Venture (JV) tenements comprising some 793km-square located in the Eastern Pilbara of Western Australia.
The company executed a binding heads of agreement with Carawine Resources (ASX:CWX) on 23 December 2020 that provided the company with the exclusive right to farm-in to the Carawine Project.
Under the terms of the agreement, Black Canyon is managing the Carawine JV and was required to spend $4 million within 5 years to earn the 75% interest.
Addressing the earn-in, Black Canyon’s Executive Director Brendan Cummins says: “Another significant milestone has been achieved by Black Canyon as 2022 draws to a close, with 75% ownership of the Carawine JV.
“Another significant milestone has been achieved by Black Canyon as 2022 draws to a close, with 75% ownership of the Carawine JV”
Over the past year, Black Canyon has built a rapid and significant understanding of a potential mine development at Flanagan Bore.
We look forward to the coming year as we continue to add value and de-risk Flanagan Bore, whilst also seeking to continue exploration activities across the Company’s prospective portfolio.”
Black Canyon and Carawine will now look to formalise the work program and budget for the JV for 2023, with both parties deemed to be contributing to JV expenditure according to their interests.
The Carawine Project is located south of the operating Woodie-Woodie manganese mine and includes the flag ship Flanagan Bore project. Black Canyon has also been granted or acquired other exploration licenses adjacent to the Carawine Project that increase the total land holdings to over 2,400km-square.
In addition to manganese, the Carawine Project also hosts multiple copper occurrences including the Western Star prospect which comprises a large zone of surface copper enrichment.
Manganese and copper continue to have attractive fundamentals with growing utilisation in the battery mineral sector and challenging supply conditions.
Write to Adam Orlando at Mining.com.au
Images: Black Canyon Ltd & iStock
