Hemisphere Resources
Hemisphere Resources (ASX: HEM) is an active explorer with advanced projects targeting iron ore, uranium and nickel.
Hemisphere Resources shares surge on plans to spin-off WA gold assets
Monday, March 15, 2010
Hemisphere Resources (ASX: HEM) intends to spin-off its Western Australian gold assets to allow it to focus on Iron Ore in the Pilbara and the Mid West as well as Nickel and Uranium in the Murchison and Eastern Goldfields.
The gold assets have significant exploration potential which the company considers require a dedicated focus. The most advanced of the gold assets, the Glandore Gold Project has significant historic intersections including:
Supergene Zone: 8m @10g/t, 8m @ 9.2g/t and 7m @ 4.2g/t oxide zone; and 2m @43g/t, 5m@5g/t and 2m @6g/t primary zone.
Axial Planar Fault Zone: 10m @10.3g/t and 4m @18.8g/t South Central Zone: 9m @4.2g/t and 7m @2.5g/t.
The company said the spin-off will see the Gold Projects being placed into a wholly owned subsidiary, Aruma Resources, which will apply for listing on the ASX. It is intended to raise a minimum of $5M in this process to enable a focused effort to be directed at the gold properties. A priority pool will be set aside for Hemisphere Resources Ltd shareholders.
Aruma Resources will have a management team with the relevant technical and management expertise to progress the projects. Hemisphere will retain close links via management and significant equity in the new company which will allow all existing shareholders to participate in the future value creation from these assets.
Hemisphere Resources shares rose 13% to 67 cents in trading today.
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