Navaho Gold (ASX: NVG) is focused on the discovery of gold deposits in Nevada, USA and Queensland, Australia.
The company's Carlin East Project in Nevada comprises 247 claims held by Genesis Gold Corp over which Navaho Gold holds an option agreement enabling it to purchase a 100% interest. Also, Navaho's Texas Project comprises four granted tenements and eight tenement applications covering approximately 3,273 square kilometres located about 80 kilometres southwest from Warwick in southern Queensland.
Navaho Gold sells Queensland tenements, retains upside with Alcyone Resources shareholding
Monday, April 23, 2012 by Angela Kean
(ASX: NVG) has entered into an agreement to sell off a 900 square kilometre tenement package in southeast Queensland to (ASX: AYN).
Importantly, the disposal of the tenement package allows Navaho to focus its ongoing exploration efforts on other, more advanced exploration targets in its portfolio.
The transaction will net Navaho A$50,000 in cash and 1 million Alcyone shares, which were last trading at around $0.065 valuing the share issue at $65,000.
The cash consideration will be paid in two tranches, with the first tranche of A$25,000 payable immediately and the second tranche to be paid upon the transfer of the tenements.
The tenements, which are prospective for silver and base metals, cover ground to the north and east of Alcyone’s Texas Silver and Polymetallic Project, making it a strategic acquisition for the company.
Mark Dugmore, chief executive officer, commented on the positive move:
“Recent follow‐up of stream sediment anomalies specifically targeting Carlin-style gold mineralisation on these tenements had not provided sufficient encouragement to persist, however under the terms of this sale agreement, retains some upside from its expenditure to date through its shareholding in Alcyone.
“Alcyone is targeting a different style of mineralisation to that sought by , and has the benefit of its geological knowledge of the silver mineralisation on its adjoining mining leases on which to base its exploration assessments of these tenements to delineate further mineralisation.”
U.S. Carlin-style gold
Navaho is set to grow its Carlin-style gold exploration initiative in the United States, with potential to become a first mover in a new gold province.
In late February, the company entered into an agreement to form an alliance with private Utah-based Genesis Gold Corporation to explore for Carlin-style deposits in New Mexico.
Importantly, the alliance offers Navaho a low cost entry into the region with a partner that has a wealth of experience in exploring for this type of mineralisation in the western U.S.
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