Navigator Resources Limited (ASX: NAV) has established itself as a mid-tier Western Australian gold producer following the commencement of gold production at its flagship 100%-owned Bronzewing operations in April 2010.
Navigator Resources plans Cummins Range rare earths drill program, dispatches IPO prospectus
Navigator Resources (ASX: NAV) has appointed XServ Consultants to manage the Cummins Range Rare Earth Project drill program design, obtain permitting approvals and seek to engage a drill contractor for the 2011 drill program.
XServ Pty Ltd is a Perth based geological and mineral exploration consultancy with previous rare earth exploration experience at Cummins Range.
The 2011 drill program will aim to increase the confidence level in the JORC-compliant inferred resource at Cummins Range and increase overall resource tonnage.
It will also provide additional samples for metallurgical analyses and test high-grade rare earth oxide exploration targets beyond the extent of existing drill coverage.
Navigator Resources has moved another step closer to spinning off the Cummins Range Rare Earth Project into a new ASX listed company, by dispatching the prospectus for the initial public offering (IPO) of Kimberley Rare Earths Limited (KRE) to Navigator shareholders on 5 April 2011.
The new company aims to raise around $14.3 million through the IPO. Navigator shareholders are eligible for one Kimberley Rare Earths share for every ten Navigator shares. Kimberley Rare Earths will be issued at $0.20.
BGF Equities will act as lead manager to the KRE IPO. The priority offer to Navigator shareholder closes on 21 April 2011.
The new company has been incorporated to be a specialist rare earths vehicle with an initial 25% direct interest in Navigator’s Cummins Range Rare Earth Project in the Kimberley region of Western Australia.
Kimberley Rare Earths will also have the right to earn up to an 80% interest in the project through funding exploration and development activities through to production of a Bankable Feasibility Study.
Cummins Range is one of only a few Australian rare earths projects that has a Resource reported under the JORC Code of; 4.17 million tonnes at 1.72% total rare earth oxide for 71,700 tonnes total rare earth oxide, 11.0% P2O5 and 187ppm U3O8.
