Alien Metals Ltd, a global minerals exploration and development company, has entered into a binding heads of agreement with ASX-listed Zenith Minerals Ltd to acquire, subject to the satisfaction of certain conditions, 100% of the Vivash Gorge Iron Ore Project in the Pilbara region of Western Australia.
- The company considers Vivash Gorge as a strategic acquisition to add to the IOCA portfolio of DSO iron ore projects within the Pilbara Region.
- Vivash Gorge (E47/3071) covers ~47 km2 and is strategically located 60 km south of the company's Brockman project, and only 80 km from Tom Price.
- Fortescue Mining Group (FMG) has defined a high grade iron ore mineral resource of 28 million t at 58.8% iron (Fe) over neighbouring ground (the Vivash SW resource), which abuts the eastern central boundary of the Vivash Gorge tenement.
- FMG has historically drilled up to the Vivash tenement boundary, returning high grade results such as 70 m at 60.5% Fe from surface (hole VV0111).
- Based on the geological mapping and proximity and strike of the Vivash SW resource, Alien considers that the Vivash SW resource continues into the Vivash Gorge tenement, providing a 'walk up' drill target.
- Several identical geological targets on strike within Vivash Gorge tenement also remain untested.
- Programme of Work (POW) for drilling of up to 150 RC holes of a maximum of 200 m each has been granted to Zenith already, which will allow Alien immediate access.
- With Vivash Gorge, the company will have three strategically located iron ore projects within the Pilbara region (combined tenement package of 108 km2), each surrounded by the iron ore majors and with significant development opportunities.
- Transaction consideration split between upfront consideration of £56 500 (to be satisfied through the issue of Alien shares at the 10-day VWAP prior to completion) and deferred condition subject to certain milestones being reached.
Bill Brodie Good, CEO and Technical Director of Alien Metals, commented: “The potential acquisition of the Vivash Gorge iron ore project from Zenith Minerals will be a great addition to our growing iron ore portfolio. Given the adjacent DSO grade deposits defined by iron ore major FMG, coupled with what we believe to be the tenement's highly prospective yet untested geology, Vivash Gorge provides Alien with a third strategically located high grade iron ore project within the Pilbara region.
“With drilling approvals already in place, we see the immediate potential to get on the ground and test the numerous targets that are on strike from Fortescue's Vivash SW deposit.”
Read the article online at: https://www.globalminingreview.com/exploration-development/30052022/alien-metals-acquires-100-of-vivash-gorge-project/