Gold Anomaly acquires remaining interest in PNG gold project
Gold Anomaly has inked a deal with Triple Plate Junction and Celtic Minerals to acquire the remaining interest in the Crater Mountain Project in Papua New Guinea, giving Gold Anomaly sole ownership of the project.
The company currently holds a 90% interest in the project through its PNG subsidiary Anomaly. Gold Anomaly will acquire Triple Plate Junction’s 8% interest and Celtic Minerals 2% interest for AUD 200,000 and USD 50,000 respectively.
The move to full ownership of Crater Mountain will facilitate ease of administering and running the project as well as making the project more attractive to potential joint venture partners. The Crater Mountain Gold and Copper Project is Gold Anomaly’s flagship project which is located in the Eastern Highlands of PNG, near the eastern end of the New Guinea Orogen geological province.
The New Guinea Orogen hosts a number of world class copper-gold deposits including the world’s largest copper-gold mine at Grasberg in Indonesia’s Papua Province. Crater Mountain hosts an Inferred Resource of 790,000 ounces gold within the Mixing Zone. The High Grade Zone has been identified as an area where small scale mining of some 100,000 ounces of gold could be undertaken.
Gold Anomaly is in the process of raising USD 6.9 million in a fully underwritten rights issue which will leave the company fully funded to continue the ongoing exploration and potential trial mining of the Crater Mountain Project’s High Grade Zone. The company also secured USD 1.5 million loan from major shareholder FreeFire Technology which is also the underwriter of the rights issue.
The funds will be used to arrange the required regulatory approvals, develop an exploration adit and commence small scale production at the High Grade Zone with the view to commencing full scale production. The cash flow generated from the small scale production at the High Grade Zone is planned to finance ongoing Mixing Zone drilling and exploration at Crater Mountain.
Source - Proactive Investors