Dundas Minerals (ASX:DUN) has entered into a binding agreement with West Cobar Metals (ASX:WC1) to sell 4 exploration licences prospective for nickel, copper, and gold.
Considerations for the sale includes West Cobar issuing 5 million fully paid ordinary shares to Dundas Minerals, alongside a cash payment of $20,000.
The $4.97 million market capitalisation company will retain the exploration and development rights for nickel, copper, and gold on the 3 northern tenements.
Commenting on the sale, Dundas Minerals Managing Director Shane Volk says: “Both Dundas and West Cobar benefit from this tenement sale transaction. For West Cobar, it provides a significantly enhanced search space for its rare earth elements exploration.
“Both Dundas and West Cobar benefit from this tenement sale transaction. For West Cobar, it provides a significantly enhanced search space for its rare earth elements exploration“
For Dundas Minerals, we obtain exposure to REEs via our shareholding in West Cobar, plus we retain the nickel, copper, and gold exploration and development rights on the 3 northern tenements – where we recently initiated an independent nickel and copper exploration target generation program with ASX-listed Sensor Limited (ASX:S3N).”
Dundas and Sensor engaged to re-invent and model its SkyTEM airborne electro-magnetic (AEM) survey data across the north-east proportion of its Dundas Project area.
The program will use Snsor’s proprietary 2.5D airborne EM inversion service to identify potential nickel/copper exploration targets, which were either not previously discovered by Dundas or identified but ranked as low prospectivity.
Results from this program are anticipated during October this year.
Dundas Minerals is a battery minerals and gold focused explorer, with a portfolio of assets in the Kalgoorlie region and southern Albany-Fraser Orogen in Western Australia.
As of 30 June 2023, the company had $1.94 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Dundas Minerals