Venturex Resources Limited (VXR) announces it has entered into a binding conditional agreement (Sale Agreement) to acquire 100% of the Panorama Exploration Joint Venture assets (“PEJV”) from the existing joint venture partners CBH Panorama Pty Limited (“CBH”) 60% and Sipa Resources Limited (“Sipa”) 40% (the “Vendors”). The PEJV comprises a total of 14 tenements covering an area of approximately 35 square kilometres to the south of the Sulphur Springs Project area.
Michael Mulroney, Venturex’s Managing Director, said that: “The acquisition of the Panorama Exploration Joint Venture assets adds significant scale and value to our exploration footprint. This is a high priority exploration target which has the potential to increase the projected mine life of the Pilbara Cu-Zn Project beyond the current seven years. The acquisition is a logical step in our strategy of consolidating our dominant land position around the proposed centralised processing hub at the Sulphur Springs site and within the broader Pilbara region.” “The acquisition via a future Royalty payment mechanism allows the Company to continue to grow its asset base, whilst conserving current cash reserves to fund resource development and exploration and without dilution to existing Shareholders.” Mr Mulroney added.
Subject to completion under the Sale Agreement, Venturex will immediately acquire all the assets and tenements of the PEJV except for the Bernts tenements (P45/2600-2604), which are the subject of an ongoing action in the Warden’s Court. The Sale Agreement grants Venturex a first option to acquire the Bernts tenements, on the same terms as the other tenements, in the event that the Vendors retain title to these tenements.
Consideration for the acquisition is the granting of an uncapped royalty of A$2.00 per dry metric tonne for any ore mined and processed from the acquired PEJV tenements under this Sale Agreement. It is anticipated that any ore mined from the Kangaroo Caves Cu-Zn deposit will form part of the future blended ore supply for the proposed centralised processing hub at the Sulphur Springs site.