Marindi Metals’ shares surge on new conglomerate gold opportunity in the Pilbara

2017-11-13 08:23:00
The company recently confirmed conglomerate gold potential at the Newman Project.
Presence of numerous alluvial gold workings

Marindi Metals Ltd’s (ASX:MZN) shares closed circa 55% higher on Friday after securing an option to acquire a tenement prospective for gold-bearing conglomerates in the Pilbara Basin.

This exploration licence application is located on the Bellary Dome and covers circa 25 square kilometres of the basal contact of the Mt Roe Basalt.

The tenement has been historically worked for alluvial gold with extensive dry blowings, detector diggings and pitting over an area of circa 600 by 100 metres.

Importantly, the prospectivity of the tenement is highlighted by the presence of numerous alluvial gold workings and prospecting pits with values up to 22 g/t gold. The option agreement has been signed with a private prospecting syndicate for $100,000 cash and 10 million Marindi shares.

Marindi can exercise the option within 45 days by paying a further $400,000 in cash and issuing 80 million shares.

The tenement complements Marindi’s existing Pilbara assets prospective for gold and base metals.

READ NEXT: Marindi Metals confirms potential for conglomerate gold at Newman Project

The company recently confirmed the potential for conglomerate hosted gold based on its recent field visits to the Newman Project, 400 kilometres southeast of Karratha in Western Australia.

Significantly, conglomeratic units were found to be present within the Hardey Formation at or near the Archaean Sylvania Dome contact.