Riversgold (ASX:RGL) has received a 21-year mining lease for its Northern Zone Gold Project, meeting a key milestone for its funding partnership with Mega Resources.
The renewable lease covers the Northern Zone, which forms part of the Kalgoorlie Gold Project located 25km east of Kalgoorlie in Western Australia.
The grant satisfies a significant condition precedent in the company’s agreement with Mega Resources, originally announced in September 2025.
Under the terms of the deal, Mega Resources will fully fund operations, while the project owners receive half of the venture’s profits.
Executive Chairman David Lenigas says the formal grant is a “tremendous result” for the project after an 18-month approval process.
“Not only does the granting of the mining lease secure long-term tenure, but it also gives us the ability to submit the [national vegetation clearing permit] and [mine development and closure proposal],” Lenigas says.
The company is now focused on completing its mine development and closure proposal (MDCP), while noting that site clearance and native vegetation clearing permit applications are due this month.
Lenigas notes that flora and fauna surveys, hydrogeological testing, and heritage surveys have already been completed.
“As of today, we are now much closer to turning dirt at Northern Zone and I look forward to updating shareholders on progress with the MDCP very soon,” Lenigas says.
The Northern Zone project is 80%-owned 80% by Riversgold, with Oracle Power (LON:ORCP) holding a 20% stake.
Previous diamond drilling at the project has identified a gold-mineralised porphyry approximately 600m wide and 500m deep.
Riversgold is a mineral explorer focused on the discovery and development of copper, gold, lithium, and other base metals primarily in Western Australia and Canada.
Write to Paula Fabe at Mining.com.au
Images: Riversgold
