Tempest to charge into Elephant exploration

Tempest Minerals (ASX:TEM) is gearing up to complete a heritage agreement and concurrent initial exploration and drilling approvals for the Elephant Project in Western Australia.

This follows an announcement on 16 August 2023 that the company had entered into a non-binding term sheet to acquire an 80% shareholder in privately held Lusture – owner of the Elephant Project.

Under the final commercial terms, Tempest has agreed to spend $500,000 on exploration at the Elephant project to maintain its 80% interest in Lusture.

Tempest will purchase the 80% of Lusture’s issued capital from privately held company MAC3. 

Upon identifying an aggregate minimum of 250,000 ounces of gold of no less than JORC indicated category on the project within 5 years, Tempest will issue a further 30 million fully paid ordinary shares to MAC3, subject to Tempest obtaining shareholder, corporate, and regulatory approvals. 

Under the agreement, Tempest will pay $36,000 cash and issue $64,000 in fully paid ordinary shares to MAC3 or its nominee at the 30-day volume weighted average price (VWAP) of Tempest shares. 

Tempest Minerals’ share price had climbed 25% to $0.010 as of 11am AEDT today (8 January). 

The Elephant project covers 194km-square of exploration leases considered to be ‘highly prospective’ for gold and base metals. 

Tempest Minerals is an Australian-based mineral explorer with a diversified portfolio of projects in Western Australia considered prospective for precious, base, and energy metals.

Write to Aaliyah Rogan at Mining.com.au   

Images: Tempest Minerals
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Written By Aaliyah Rogan
Relocated from the East Coast in New Zealand to Queensland Australia, Aaliyah is a fervent journalist who has a passion for storytelling. When Aaliyah isn’t writing stories, she is either spending time with friends and family or down at the beach.