Gold explorer IRIS Metals is preparing for its ASX debut this Thursday following a successful $7 million raise that attracted cornerstone support from an entity related to former Piedmont Lithium director Levi Mochkin.
Proceeds from the IPO are set to fund exploration on identified and greenfield targets at the company’s Kookynie and Leonora projects, with RC drilling at walk-up targets tasked with establishing a series of JORC-compliant resource estimates.
The company has also confirmed that Simon Lill from De Grey Mining has joined the board as Non-Executive Chairman.
Unlocking potential at historic, high-grade Kookynie
IRIS’ 100%-owned central Kookynie tenement package encompasses in excess of 50 historical mine sites with reported historic production at grades of up to 63 g/t Au at the company’s Lily prospect, and is ranked as the third-largest landholding in the Central Kookynie region.
The mining camp, which has seen little modern exploration, is in an historically high-grade jurisdiction with recorded output of around 600,000 ounces of gold @ 15 g/t Au since the 1890’s. Notable mines include Cosmopolitan (350,000oz @ 15 g/t Au), Champion (33,000oz @ 17 g/t Au), Batavia (23,000oz @ 30 g/t Au) and Altona (18,800oz @ 20 g/t Au).
In mid-July, neighbouring Kookynie explorer Carnavale Resources (ASX: CAV), along with JV partners Metalicity (ASX: MCT) and Nex Metals (ASX: NME) reported shallow ‘bonanza’ grades of up to 32.5 g/t Au from 18m.
Modern exploration set to target underexplored areas
Historical results have come from exploration on outcropping mineralisation, providing potential for the company to recruit modern exploration techniques at drill targets that remain untested along strike and at depth.
IRIS’ immediate plans for the central Kookynie tenements include analysis of aeromagnetics (due for release soon after listing), along with the above mentioned RC program on walk-up drill targets.
“Our ground has not seen modern exploration in 30 years or so, with very few holes drilled to 50m“
Non-Executive Chairman, Simon Lill, told Mining.com.au “Our ground has not seen modern exploration in 30 years or so, with very few holes drilled to 50m, let alone below that level. We look forward to applying the latest in techniques, technologies and geological theories in order to unlock the true potential at Kookynie.”
Tenement package provides strategic position in Leonora
IRIS holds approximately 70km² of ground at its Leonora project, with a strategic tenure of 41 prospecting leases surrounded by Kin Mining’s (ASX: KIN) JORC 1.23Moz Cardinia Gold Project, and along strike from Golden Mile Resources’ (ASX: G88) recent Wanghi discovery.
Recently, prominent gold miner St Barbara (ASX: SBM) acquired a 19.8% stake in KIN for $25.3 million. This follows SBM’s $285 million merger between Dacian Gold (ASX: DCN) and NTM Gold late last year, leading to speculation that the company may eventually move to completely acquire KIN, the major landholder in Leonora.
IRIS’ Leonora tenement package includes historical intersections of 30m @ 2.14 g/t Au from 20m, and 5m @ 12.5 g/t Au from 38m.
The company intends to release its aeromagnetic interpretation shortly following listing, making it well-positioned in the Leonora mining camp.
“The capital table of IRIS has been tightly structured and is highly leveraged to exploration success”
Management and shareholder interests fully aligned
IRIS reports that its Top 20 shareholders represent more than 80% of issued capital, with Non-Executive Chairman Simon Lill noting that all directors are invested in the company “thereby ensuring full alignment with the interests of shareholders. The capital table of IRIS has been tightly structured and is highly leveraged to exploration success.”
Mr Lill added: “We believe that we have assembled a compelling tenement package in two outstanding gold camps. We have also been fortunate to secure two experienced geologists in Chris Connell (non Executive Director) and Andrew Wood to oversee our exploration planning.”
This article is a sponsored feature from Mining.com.au partner IRIS Metals Limited. It is not financial advice. Talk to a registered financial expert before making investment decisions.