Tungsten Mining (ASX:TGN) has executed an agreement with privately held Minjar Gold to acquire the Mt Mulgine Project for $3.3 million cash.
The Mt Mulgine Project is located within the Murchison Region of Western Australia.
Tungsten Mining, which has a market capitalisation of $58.98 million, already owns tungsten and molybdenum rights on a contiguous group of tenements that have been the subject of previous tungsten and molybdenum exploration.
Completion of the transaction is conditional upon receiving ministerial approval in relation to the transfer of the project and water licence.
Chairman Gary Lyons says this transaction will give the company the right to explore, then hopefully develop, all minerals on the Mt Mulgine tenements beyond tungsten and molybdenum.
“The ownership of these tenements is an important step as we seek to unlock value in our most important project,” Lyons says.
The transaction is expected to be completed on the last business day of the month ministerial consent is obtained.
According to the Royal Society of Chemistry, tungsten is used in electrodes, heating elements, and field emitters. It is also used as filaments in light bulbs and cathode ray tubes.
The metal is considered of strategic importance as it is essential to modern industrial development and is widely used in the aerospace, defence, electronics, automotive, extractive and construction industries.
Tungsten Mining is an Australian resources company primarily focused on the exploration and development of tungsten projects.
Write to Aaliyah Rogan at Mining.com.au
Images: Tungsten Mining
