Peako (ASX:PKO) has completed the 100% acquisition of six gold exploration projects covering 862km² in Saudi Arabia’s Central Arabian Gold Region and will commence maiden drilling in October.
The acquisition follows shareholder approval on 17 August and fulfillment of all conditions precedent.
The portfolio is located within the Central Arabian Gold Region, which hosts 15 multimillion-ounce deposits within the Arabian-Nubian Shield.
Recent exploration delineated two new major vein systems at Sukhaybarat South and an 8km ‘high-grade’ vein corridor at Wadi Jarir.
At Sukhaybarat South, the Matar discovery returned rock chips to 22.90 grams per tonne gold (Au), while the Karak system returned grades to 9.10g/t Au. Meanwhile, Wadi Jarir rock chip sampling reached 41.50g/t Au.
Chairman Gernot Abl says completing the acquisition is a ‘major’ step for Peako.
“Completing this acquisition … [positions] us in Saudi Arabia’s emerging gold sector. We have built a high-grade discovery platform across an exceptional geological setting that is significantly underexplored,” Abl says.
The company has secured a drill rig for October drilling, which will cover five targets adjacent to multimillion-ounce deposits and operating mines.
Sukhaybarat South sits in the vicinity of the estimated 2-million-ounce Sukhaybarat deposit and mine, where drilling will test Karak and Matar alongside open intercepts at Redhill SE including 4m at 11.30g/t Au and 5m at 5.50g/t Au.
At Wadi Jarir, the vein corridor features an open end-of-hole intercept of 2m at 13.50g/t Au, including 1m at 25.90g/t Au.
Finally, Jabal Jumaymah features a 1.1km outcropping vein system with rock chips to 41g/t Au and historical scout drill intercepts including 7m at 10.10g/t Au and 7m at 5.40g/t Au.
Peako reports high-resolution ground magnetic and topographic surveys are nearing completion across five key target areas within Sukhaybarat South, Wadi Jarir, and Jabal Jumaymah in preparation for drilling.
Regional targets include Ad Dirabi with rock chips to 11.40g/t Au, Bulgah East featuring a 10km soil anomaly parallel to the nearby approximately 3.4-million-ounce Bulgah deposit, and Wadi Ash Shuwayla.
Peako has established a Saudi Arabia subsidiary to pursue joint venture and acquisition opportunities. The company says the 10 exploration licence blocks comprising the six projects will be transferred to the subsidiary within 12 months of initial grant.
Peako is a mineral explorer focused on the discovery and development of gold assets, particularly in the Central Arabian Gold Region.
Write to Paula Fabe at Mining.com.au
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