Metal Hawk Limited (ASX: MHK) has confirmed that IGO Limited1 (ASX: IGO) has satisfied the Stage-1 requirements of its Earn-In and Joint Venture Agreement (EIJVA).
Under the agreement with Metal Hawk, IGO’s wholly owned subsidiary Western Areas Limited has spent a required A$3 million on exploration across the Joint Venture Projects.
IGO achieved the Stage-1 milestone well ahead of the required timeframe and is now entitled to a 51% joint venture interest in Metal Hawk’s Kanowna East, Emu Lake and Fraser South projects in Western Australia.
Significantly, IGO has elected to proceed with Stage-2 of the EIJVA whereby it can earn an additional 24% joint venture interest by sole funding a further A$4 million of exploration.
Metal Hawk is free-carried to a decision to mine and retains 100% of the gold rights at Kanowna East and Emu Lake.
“We have been really pleased with the pace and quality of exploration carried out by our joint venture partner, which has exceeded its obligation under the earn-in agreement, and with the results achieved to date,” Metal Hawk Managing Director, Will Belbin, said.
“The election by IGO to progress to Stage-2 is a tremendous outcome for Metal Hawk that will see a substantial step-up in exploration expenditure without drawing on shareholders’ funds. We also see this as a strong endorsement of the quality and potential of these projects.”
Kanowna East Diamond drilling is due to recommence in July 2022 and will continue to explore the interpreted southern extension of the ultramafic corridor hosting the high-grade Silver Swan nickel deposit.
Drilling will follow-up nickel sulphide mineralisation recently intersected in maiden diamond hole KEDD001, which identified a broad 220m zone of nickel-bearing ultramafic rocks.
Emu Lake Moving loop ground electromagnetic (MLEM) surveys are scheduled to commence in Q3 2022. The survey will cover areas of prospective ultramafic stratigraphy identified from recent AC (aircore) drilling along strike from the high-grade Binti Binti nickel deposit.
A Fraser South A heritage survey is scheduled for July 2022 to allow access for a reconnaissance AC drilling program planned to commence in October. Airborne geophysical surveys are also scheduled to commence in Q3 2022.
For further information please visit: https://www.metalhawk.com.au/