Western Star Resources (CSE:WSR) has agreed to acquire 14 lode mining claims and secure exclusive surface-use rights over 640 acres at its Eagle Point Tungsten Project in New Mexico, US.
The claims adjoin Eagle Point’s western boundary and cover the interpreted continuation of its mineralised skarn system along a limestone-intrusive contact.
The surface agreement has an initial five-year term and four five-year renewal options, providing access for up to 25 years. It covers activities from exploration and development through mining, processing, and reclamation.
President and CEO Blake Morgan says the new ground contains part of Eagle Point’s historical trench network.
“Securing the western extension with the surface rights already in hand is exactly how we want to grow Eagle Point — decisively and with long-term surface access locked in,” Morgan says.
“The new claims contain part of the historical trench network that helped define this system, and they have never been touched by modern exploration.”
Survey extended across new claims
Historical reports covering trenches within or adjacent to the new claims include 0.75% tungsten trioxide (WO₃) across about 1.8m and 0.40% WO₃ across about 1.5m.
The results predate National Instrument 43-101 requirements and have not been independently verified. Western Star says the historical sampling and analytical methods are not documented.
Western Star recently mobilised a high-resolution unmanned aerial vehicle magnetic survey at Eagle Point ahead of planned drilling, as previously reported by Mining.com.au.
The company has expanded the survey across the additional claims to include the ground in the same dataset as the existing tenure.
Western Star says it is also conducting geological mapping and sampling and beginning baseline environmental and permitting work ahead of drill targeting.
The purchase consideration comprises C$150,000 ($151,130) in cash and 4 million Western Star shares. The vendors will also receive a 1.5% net smelter return royalty, of which Western Star can repurchase 1% for C$1 million.
Completion remains subject to customary conditions, including regulatory approvals.
Western Star Resources is a Canadian junior explorer advancing a portfolio of tungsten properties in New Mexico and Nevada, US.
Write to France Pinzon at Mining.com.au
Main image: Western Star Resources
