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Aruma Resources (ASX:AAJ) has boomed as much as +75% out the trading gates on Thursday on news it is now entering the Canadian mining sector after today agreeing to take up an 85% stake in the Tillex project in Ontario. The deal also gives Aruma total control of Tillex’s adjoining patent claims.
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Tillex is a “well-defined” copper-sulphide deposit in Ontario’s tier-one Timmins minerals district that Aruma believes has major exploration potential − and puts the Aussie explorer in copper right as prices are ballooning.
“This project aligns perfectly with our strategic criteria,” said managing director Grant Ferguson. “We’re delighted to secure such a value-accretive asset.”
“Copper is acknowledged as having a strong, robust long-term supply-demand outlook amid growing demand in EVs, wind turbines, solar panels, along with AI data centres, and in defence hardware and infrastructure, and declining global mine inventories. Against this backdrop, Aruma [will] rapidly advance the project.”
Aruma had been mainly drawn to Tillex’s scale, geometry, and growth potential, as well as the fact that work there has already picked up high-grade results. “We see great potential for discovery,” Mr Ferguson explained.
The explorer paid vendor Metals Creek Resources Corp (TSX:MEK) C$225,000 in cash and scrip for the settlement. There are several deferred payments in the deal, too, that will pop up at 12, 24, and 36-month markers.
Those, The Market Link understands, are tied to the definition of the JORC-compliant resource ranging between 1.5 and 2.5 million tonnes at update.
There was also a C$575K price tag on the adjacent claims Aruma picked up.
Aruma won’t need to pay much to get properly set up, though, with the site already serviced by existing road, power, and water infrastructure.
The company now plans to start dual exploration and resource development campaigns “immediately,” including phase-one diamond drilling this quarter. The copper-sulphide deposit starts at a shallow 25 to 30 metres.
Through mid-morning, AAJ shares have been at 3.5cps.
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