Terra Metals (ASX:TM1) has exercised the option to acquire privately held HRM Exploration in order to expand landholdings at the Dante Project in Western Australia as part of its strategy focused on metallic metals.
HRM’s tenement package includes four exploration licenses, spanning 618km2, that are contiguous with the flagship polymetallic project region.
As Mining.com.au previously reported, Terra will issue 7.5 million shares in the company to HRM’s sole shareholder privately held Hardrock Minerals, as well as up to 11.25 million shares in three separate installments, upon achieving certain performance conditions.
The acquisition is expected to be settled shortly, subject to the warranties being provided by HRM being true and correct.
Terra, which has a market capitalisation of $9.78 million, says the acquisition will strengthen its tenement position in the West Musgrave region and the Jameson Layered Intrusion, which is predicted to compare with South Africa’s Bushland Province.
CEO Thomas Line says the company is thrilled to expand landholdings in the major metal province, following last year’s metallic metals discoveries at the Reef 1 North and Reef 2 deposits.
“Recent metallurgical testwork has confirmed the mineralisation can produce three high-grade concentrates with high recoveries, using simple and low-cut processing tools,” Line says.
The company is currently progressing metallurgical optimisation testwork and a maiden resource estimate is currently in preparation for the area.
Terra Metals is an exploration company operating critical metals and sulphide deposits across Western Australia.
Write to Maddison Elliott at Mining.com.au
Images: Terra Metals
