Metals Australia announced that it has signed an agreement to acquire 80% of Payne Gully Gold (PGG) an Australian mining company with highly prospective battery and precious metals projects in Australia. Metals Australia will issue 40 million shares at $0.07, plus 84 million shares at $0.07 plus a $300,000 cash payment to PGG vendors, with the agreement and subsequent deal subject to shareholder approval. The deal is expected to enhance Metals Australia’s portfolio of gold and battery metals projects in Western Australia and the Northern Territory.
Mike Scivolo, Metals Australia chairman, commented in a press release: “The company has taken advantage of an outstanding opportunity to acquire a suite of highly prospective battery metals and gold projects with multiple drill targets near major deposits in tier one jurisdictions. These new projects give Metals Australia the opportunity to build on its exploration success over the past few months. The Payne Gully acquisition is in line with the company’s focus on projects in highly-prospective mineralised terranes such as in the Yilgarn and Pilbara regions of Western Australia, and the Tennant Creek region of the Northern Territory.”
The company’s main projects include the Murchison Domain gold project in Western Australia, the Warrambie nickel-copper-cobalt project, and the Tennant Creek copper-gold project in the Northern Territory.
The three tenements that make up the Tennant Creek project are located near the Warrego high-grade copper-gold deposit and one other near Tennant Minerals’ Bluebird copper-gold discovery.
The Warrambie project is considered highly prospective due to mafic intrusive nickel-copper-cobalt sulphide mineralisation. It is located in the Pilbara region, and it is sandwiched between Sabre Resources’ Sherlock Bay nickel sulphide project and the Andover nickel sulphide discovery.
The Murchison Domain project has four tenements which are highly prospective due to major gold deposits and gold and Ni-Cu-Co-PGE mineralisation. The four prospects are all prospective for the company.