ASX-listed exploration company Resolution Minerals (ASX:RML) reports it has earned a 51% interest in the 64North Gold Project located in Alaska in the US.
The company earned the majority stake as part of an option, earn-in, and joint venture (JV) agreement with Alaska-based project generation company Millrock Resources (CVE:MRO) by meeting the expenditure requirements of the agreement.
Resolution has also paid a US$100,000 milestone cash payment, and has issued 10 million company shares to Millrock. The company says it will now work with Millrock to complete various regulatory formalities to record its interest in the project.
Under this agreement, Resolution will manage the project, and will be appointed as the operator. The company will be required to keep the retained tenements in good standing, which includes paying annual rentals, as well as meeting statutory exploration expenditure.
Claims in Alaska require a minimum annual labour commitment of US$300,000 across 64North. Resolution says this was achieved ‘comfortably’ in 2020 at 64North by spending US$6 million in 2020 alone. As a result, this overspend can be carried forward for 5 years.
The company also has the right of refusal to purchase Millrock’s interest in the project should it wish to divest itself of the project. Millrock must offer Resolution 30 days to indicate Resolution’s intention to match a genuine offer.
The agreement also outlines that any new tenements acquired by either Resolution or Millrock around the 64North Project will be included in the JV.
Resolution says encouraging drilling results at the Tourmaline Ridge fault vein which recorded up to 6.7g/t Au, and ‘compelling’ East Pogo drill targets are currently being assessed alongside multiple strategic alternatives to advance the project.
The company reports it has been active at 64North since 2019, and it intends to complete further structural mapping, geochemistry sampling, and geophysics surveys to prioritise drill targets in mid-2023 before conducting further drilling.
Resolution Minerals is a mineral exploration company focused on the acquisition, exploration, and development of precious and battery metals including gold, copper, cobalt, and uranium.
The company currently holds the 64North Project in Alaska, US, along with the Wollogorang Copper, and the Benmara projects in the Northern Territory.
Images: Resolution Minerals Ltd & iStock