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- Cazaly Resources (CAZ) pens a deal with AuKing Mining (AKN) to include the CAZ Halls Creek copper deposits in a mine scoping study
- The companies have signed a memorandum of understanding (MoU) over the AuKing study, which will determine the potential viability of open-pit and underground operations centred around AuKing’s Sandiego deposit
- Under the terms of the MoU, both parties will collaborate via a mutual exchange of information to support the scoping study
- The study will be fully funded by AKN, with findings expected to be reported before the fourth quarter of 2023
- Cazaly Resources shares are trading grey at 3.1 cents at 1:22 pm AEDT, and AuKing shares are up 2.2 per cent to 9.3 cents at the same time
Cazaly Resources (CAZ) has penned a deal with AuKing Mining (AKN) to include the CAZ Halls Creek copper deposits in a mine scoping study.
The companies have signed a memorandum of understanding (MoU) over the study, which will be conducted by AuKing.
The study will determine the potential viability of open-pit and underground operations centred around AuKing’s Sandiego deposit.
The Sandiego deposit is part of AuKing’s Koongie Park project at Halls Creek, in which it currently holds an 80 per cent interest through a joint venture with Astral Resources (AAR). AuKing holds the right to acquire the final 20 per cent interest under the terms of the Koongie Park joint venture agreement.
AuKing and Cazaly recognised there could be a significant benefit in combining resources in the scoping study and potential future development of a central mining hub at Sandiego, with multiple feed options from the surrounding deposits.
Under the terms of the MoU, both parties will collaborate via a mutual exchange of information to support the scoping study. There are no other provisions in the MoU binding either party to undertake further dealings.
Wave International has been engaged by AuKing to conduct the scoping study, with a focus on developing an initial mine plan and processing to identify project economics and options to progress to a pre-feasibility study.
“We are extremely pleased to be working with AuKing,” Cazaly Managing Director Tara French said.
“The signing of this MoU is a significant step towards establishing a potential pathway forward to progress the copper deposits at Halls Creek towards development.”
The study will be fully funded by AKN, with findings expected to be reported before the fourth quarter of 2023.
Cazaly Resources shares were trading grey at 3.1 cents at 1:22 pm AEDT, and AuKing shares were up 2.2 per cent to 9.3 cents at the same time.
