Cosmo exercises option to acquire Kanowna Gold Project

Highlights:

• Cosmo exercises option to acquire 100% of La Zarza Minerals Pty Ltd, the holder of the Kanowna Gold Project (KGP) adjacent to Northern Star’s Kanowna Belle Mine, where over 5.4 million oz Au has been produced since 1993.
• >20 km² tenure in 12 contiguous Prospecting Licences with heritage agreements in place.
• Limited effective historical exploration with only 12 holes drilled deeper than 150 m.
• Located 13 km from Kalgoorlie with bitumen access and within trucking distance of multiple mills.
• Leveraged and low-cost transaction to acquire 100% of the KGP.
• To fund completion of the acquisition and exploration at KGP, Cosmo seeks to raise approximately US$2.1 million via a Single Tranche Placement and Accelerated Non-Renounceable Entitlement Offer.
• On-ground exploration to commence immediately with RC and air-core drilling planned following completion of the capital raising and acquisition in late March/ early April 2024.

Cosmo’s Managing Director, James Merrillees commented: “The execution of the option to acquire the Kanowna Gold Project (KGP) is an exciting opportunity for Cosmo Metals’ shareholders. The potential at the KGP is compelling, with proven gold mineralisation adjacent to the world-class Kanowna Belle deposit including headline drill intercepts of 18 m @ 5.3 g/t Au and 10 m @ 4.7 g/t Au. The company has identified widespread near-surface gold mineralisation at the KGP associated with structures analogous to the Fitzroy Fault, which controls mineralisation at Northern Star’s adjacent Kanowna Belle gold project. Drill-ready targets with this association have already been identified at Don Álvaro, Laguna Verde, and WKL, along with broad supergene targets that have never been followed up. The acquisition of the KGP complements the company’s existing base metals and lithium portfolio at Yamarna and is a low-cost entry into the prolific Eastern Goldfields adjacent to world-class projects with exceptional infrastructure. With the help of our corporate advisors, we are in the process of securing the support of existing and incoming shareholders for a capital raising to complete the acquisition and fund drilling and exploration programmes at the KGP.”

Read the article online at: https://www.globalminingreview.com/mining/21022024/cosmo-exercises-option-to-acquire-kanowna-gold-project/