Tempest Minerals Ltd (TEM) has announced the acquisition of a compelling new gold project in Western Australia. The Elephant Project is located on the edge of the Albany Fraser Belt, a region that hosts several world class gold deposits, such as Tropicana and Nova-Bollinger.
The Elephant Project covers an area of 1,000 square kilometres and has several large-scale exploration targets that have been identified by geochemical and geophysical surveys. The project has a similar anomaly footprint to other major gold deposits in the region, indicating the potential for significant mineralisation.
TEM will acquire 80% of Lusture Pty Ltd, which owns the Elephant Project, by making an initial payment of $500,000 in cash and issuing 20 million TEM shares. TEM will also agree to spend $2 million on exploration within two years to maintain its interest.
TEM’s Managing Director, Mr. David Riekie, said: “We are very excited to acquire the Elephant Project, which we believe has the potential to host a significant gold discovery. The project has a large and untested exploration target that is comparable to other world class deposits in the Fraser Range. We look forward to commencing an aggressive exploration program to unlock the value of this project.”
The acquisition is subject to due diligence and regulatory approvals. TEM expects to complete the transaction by the end of September 2023.