Great Western Exploration (ASX:GTE) is putting its sole focus into its several targets within the Yerrida North Project in Western Australia, after entering into a binding agreement to sell the Yandal West Gold Project to Albion Resources (ASX:ALB).
The transaction is expected to be completed in January 2025, subject to Albion securing shareholder approval and Great Western delivering any deeds of assignment and assumption required by Albion.
Euroz Hartleys acted as corporate advisor to Great Western in respect of the transaction.
Albion will issue Great Western 22.22 million shares at $0.045 per share, which equals to the value of $1 million, as well as issue 30 million performance rights to acquire the assets. Albion directors, who hold a combined total of 18% of the ordinary shares on issue, have confirmed they will vote in favour of the acquisition.
The Yandal West Project encompasses three tenements, covering 61km2 within the Northeastern Goldfields Province of the Yilgarn Craton. The project is adjacent to the recent Siona gold discovery made by Yandal Resources (ASX:YRL), which reported 107m @ 1.0g/t gold from 96m to end of hole (estimated true width of 30m).
Great Western Managing Director Shane Pike says the company still retains leverage to future exploration success at the project through its significant shareholding in Albion post completion of the project sale.
“Given the exciting program Great Western has underway at its Oval prospect and with multiple maiden drilling programs at the Oval-South copper-gold target, followed by drilling at the Sumo niobium target and six Juggernaut volcanic-hosted massive sulphide targets, notwithstanding the prospectivity of the Yandal West Project, it is not able to get the attention it deserves,” Pike says.
Albion non-executive Chairman Steven Formica says the Yandal Belt demonstrates potential for major gold discoveries.
He says phe project is strategically located in a proven gold producing belt, positioned in-between the Bronzewing and Jundee gold mines operating by Northern Star (ASX:NST) and surrounded by critical infrastructure.
“With several shallow high-grade gold targets identified for priority testing, including the Barwidgee Fault which is drill-ready with heritage clearance already completed, we intend to begin an aggressive exploration program on completion of the acquisition, which should provide a steady stream of exciting news flow for shareholders in 2025,” Formica says.
Albion Resources is a base metal and gold explorer focused on its diversified project portfolio in Western Australia. Great Western Exploration is a copper and gold-focused explorer with a land position in prolific regions of Western Australia.
Write to Aaliyah Rogan at Mining.com.au
Images: Great Western Exploration
