Dreadnought Resources (ASX:DRE) has executed a farm-in and joint venture agreement with a Teck Resources (TSX:TECK.A) subsidiary to advance the Money Intrusion prospect in Western Australia.
The Money Intrusion prospect, prospective for nickel-copper-cobalt-platinum group elements, is part of the broader Mangaroon Project in the Gascoyne region.
Under the farm-in, Teck may earn a 75% interest in the Money Intrusion prospect by managing and sole funding $15 million of expenditure within six and a half years. This payment includes a $1 million commitment within the first 18 months.
Teck will also make a $450,000 cash payment to Dreadnought, with $200,000 to be paid within five days of the agreement. The remaining cash is to be paid within three and a half years.
Once completed, both companies will form a 75:25 joint venture, with Teck managing all exploration at the prospect.
Teck intends to prepare for geological and geophysical surveys at the prospect, which are expected to begin next month.
Dreadnought Managing Director Dean Tuck says Teck is focused on responsibly providing the metals essential for global development and the energy transition.
“This provides our shareholders with exposure to the nickel and copper potential of the Money Intrusion in addition to the critical metals at the Gifford Creek rare earth and niobium-rich carbonatite and Yin rare earths, while we continue to focus on our gold development strategy and finding more gold faster,” Tuck says.
“It has been a pleasure working with Teck and we look forward to building upon our relationship as we are both committed to exploration and to discovering the metals needed now and in the future.”
Teck Resources is a Canadian resources company focused on producing metals essential for global development and the energy transition. The company’s operations are prospective for copper and zinc.
Dreadnought Resources is a Western Australian mineral explorer focused on finding metals needed for the future.
Write to Aaliyah Rogan at Mining.com.au
Images: Dreadnought Resources
