Coolabah Metals (ASX:CBH) reports it has signed a binding heads of agreement for the acquisition of 2 mining leases at the Gunpowder Creek Project, located in Queensland.
The company says it will seek to acquire ML5571 and ML5572, which aligns with its strategy to explore and discover gold deposits in the ‘prospective’ Mount Isa Inlier to enhance the status and value of the Gunpowder Creek Project.
It states ML5572 has an area of 4 hectares, and the proposed acquisition will consolidate the area and reduces the risk of a small portion of the prospect being held by another party in the event of a discovery.
Coolabah Metals Managing Director Cameron Provost said the company is pleased to announce the proposed expansion of its Gunpowder Creek Project located 45km northwest of Mount Isa, with a binding heads of agreement to acquire 2 strategic mining licences.
“The new mining licence ML5572 is located within the exploration licence boundary of EPM27733. The southeastern perimeter of ML5572 is situated within 50m of the Golden Sunset Prospect, one of the 26 historic gold workings positioned along a north-northwest trending May Downs Fault.
“The purchase of the 2 additional mining leases ML5571 and ML5572 consolidates 100% ownership of the 5km strike of historic gold workings at Gunpowder Creek”
The purchase of the 2 additional mining leases ML5571 and ML5572 consolidates 100% ownership of the 5km strike of historic gold workings at Gunpowder Creek. Having just completed a maiden 9 reverse circulation (RC) drillhole program located adjacent to ML5572, I certainly look forward to reporting the analysed results before the end of the month.”
Coolabah Metals is a minerals explorer focused on copper, gold and base metal assets throughout Australia. Its assets include the Coolabah Project, the Nymagee Project and the Gunpowder Creek Project.
The Gunpowder Creek Project is located within the Mount Isa block only 40km northwest of Mount Isa, home to numerous historic workings over 5km and highlights ‘high-grade’ rock chips up to 32g/t Au.
Coolabah says the Gunpowder Creek Project is prospective for vein and fault hosted ‘high-grade’ gold and Mount Isa copper-lead-zinc type mineralisation.
Images: Coolabah Metals Ltd & iStock
