Rio Tinto Exploration (RTX) has indicated that it will be focusing on its other projects within its portfolio, resulting in the Paterson North Project reverting to being wholly owned and controlled by Sipa Resources (ASX:SRI).
Following an assessment of RTX’s global exploration priorities, the company has elected to withdraw from the Paterson North farm-in agreement, which will come into effect from 15 March 2024.
Sipa Resources Managing Director Andrew Muir says the company is continuing to enhance and refine its portfolio through strategic acquisitions, divestments, and joint venture opportunities.
“We would like to thank RTX for its support and contribution to the Paterson North Project and for the collegiate and collaborative manner in which it has approached the farm-in.
With RTX’s assistance, we have been able to identify several additional targets, which require follow up work.”
Sipa says there are multiple targets remaining to be tested at Paterson. The company plans to refine and prioritise these to assess the next steps, as part of its ongoing portfolio review and business development strategy.
To date, Rio Tinto Exploration spent $6.2 million on geophysical surveys, targeting studies, heritage surveys, and 2 rounds of drilling at the project. This has met the minimum expenditure criteria for the farm-in, prior to withdrawal.
The Paterson North Project is a copper-gold focused project located in close proximity to Rio Tinto’s (ASX:RIO) Winu discovery in the Paterson region of Western Australia.
Rio Tinto Exploration is a wholly owned subsidiary of Rio Tinto which mines and produces copper, coal, diamonds, and other minerals.
Sipa Resources is an Australian-based mineral explorer focused on discovering gold and base metal deposits.
Write to Aaliyah Rogan at Mining.com.au
Images: Sipa Resources
