Mamba secures option to purchase ‘The Don’ rare earths and gold project in the East Kimberley

Mamba Exploration (ASX: M24) reports that it has entered into an option agreement with Mining Equities Limited to acquire 100% of ‘The Don’ rare earths and gold project in Western Australia’s East Kimberley region.

The 113km² project, which has been subject to limited REE analysis, has returned grades of up to 1.55% yttrium and 16.8g/t gold following trenching and rock chip sampling at its Whites Beach and Don prospects.

Commenting on the acquisition, Mamba Exploration Managing Director Mike Dunbar said: “The company is always on the lookout for additional projects to enhance the value of our existing portfolio and “The Don” certainly does that. We are actively exploring in the Kimberley, so this additional package strengthens our land position in the region and provides us exposure to an extremely underexplored REE and gold project.

“this additional package strengthens our land position in the region and provides us exposure to an extremely underexplored REE and gold project”

Given the success that PVW Resources to the south and Northern Mineral to the north, have had exploring the same sedimentary formations and aged rocks for REEs and gold, it was surprising that this Project had not been secured by the other active explorers in the area.”

Mamba notes that the project hosts sedimentary rocks that house the Killi Killi formation, which also includes PVW Resources’ (ASX: PVW) rare earths discovery approximately 48km to the south. The company believes that this provides further support for additional rare earths mineralisation to exist at the project.

In addition, a tenement application has been lodged at the Gardiner Range, which if passed, will see a doubling of the area covered within the option agreement.

Terms of the acquisition include Mamba paying a $25,000 cash option fee, a purchase price of $100,000 worth of M24 Shares (5 day VWAP), and a 1% NSR royalty on any metals recovered from the ELA80 /5654 and 5712 tenements. The option is executable at any time within the 3 month period after the grant of tenements.

The company reports that field reconnaissance will commence in June as part of a geochemical sampling campaign at its Copper Flats Project while it awaits approval of the Gardiner Range tenement application.