Under a farm-in agreement Independence had the right to increase its interest in Plumridge from 51% to 90% through the expenditure of $5 million within four years from January 31, 2018.
This requirement has been met in just 17 months.
The Plumridge project consists of eight exploration licences covering 2,500 square kilometres in the northern Fraser Range Province of WA.
It is about 200 kilometres north of IGO’s Nova nickel-copper-cobalt operation and 120 kilometres south of the Tropicana gold operation.
The primary player in the prolific Fraser Range met the expenditure requirement by completing drilling and surveys.
Project-wide aircore drilling programs were carried out on a 3-kilometre by 800-metre spacing.
IGO’s other work included SPECTREM airborne electromagnetic (AEM) surveys and ground moving loop EM (MLEM) surveys over target areas to define bedrock conductors.
Independence is forging ahead with exploration at Plumridge and has started drilling four bedrock targets that have been identified using the aircore drilling, AEM and MLEM datasets.
These targets are considered prospective for Nova-style magmatic sulphide mineralisation (nickel-copper) and Andromeda-style volcanogenic massive sulphide mineralisation (copper-zinc).
Arrow retains a residual 10% interest in the project and can maintain this by contributing on a pro-rata basis to the joint venture.
If Arrow elects not to contribute, its interest will convert to a 1% net smelter return royalty on all future production from the project.