Magmatic Resources has secured the Weebo gold project in a key gold-producing region of Western Australia.
Through the agreement, Magmatic is set to acquire 136km2 across the southern Yandal greenstone belt near Leinster.
The acquisition, which is subject to $50,000 in cash and 36 million shares in Magmatic, complements the company’s existing copper and gold assets in New South Wales.
Weebo is strategically located between five major gold operations, including Darlot, Agnew–Lawlers, Bellevue, Bronzewing and Thunderbox.
The Weebo project includes eight granted exploration licences and one granted prospecting licence.
Drill-defined targets include the Ockerburry prospect, which extends over five strike kilometres and includes intersections such as 4m at 29.9 grams per tonne (g/t) gold from 8m, and 16m at 2.8g/t from 52m.
The Scone Stone prospect is defined across 800m of strike with results including 6m at 4.4g/t gold from 54m, and 29m at 1.1g/t from 98m.
Magmatic believes the area is significantly underexplored and sees potential for major new discoveries.
“The prospectivity of this area is highlighted by the proximity to five large gold mines and we believe the project area is underexplored, offering a great opportunity for new discoveries,” Magmatic managing director David Richardson said.
Drilling is expected to begin in the September quarter.
Magmatic is also committed to advancing three projects in the East Lachlan region of NSW while progressing a major drill program at the Myall project.
“Our four projects give shareholders exposure to both the gold and copper markets, with two potential Tier 1 gold-copper projects and now, two near surface gold projects in the heart of two of Australia’s most well-endowed mining regions,” Richardson said.
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