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Critical Resources (ASX:CRR) has today sealed the deal on its Cap Burn Gold Project acquisition, securing full permit transfer and land access approvals as it prepares to start drilling at the South Island site in New Zealand.
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The Western Australian explorer has been working on purchase agreement hurdles since August 6, landing the last (ministerial approval) this week. “We are very pleased to announce the completion of the Cap Burn Gold Project, marking a significant step forward for Critical Resources in New Zealand,” the company’s managing director, Tim Wither, declared to shareholders today.
The deal will see Critical hand Cap Burn’s sales vendors 1.5% net smelter return royalty on any eventual production. Critical also paid $60,000 to Koura Resources. A further $450K in cash or shares will be due across several milestones.
Drill sites have been identified, and Critical is already bringing in contractor Ecodrilling New Zealand to launch on-ground activities. With both already in pocket, the explorer now expects drilling to start “in coming weeks.”
Cap Burn lies within the Otago Schist Belt, which hosts multiple multi-million-ounce deposits and sits 11 kilometres from OceanaGold’s Macraes.
“The geologically robust Cap Burn further strengthens Critical’s gold portfolio, providing shareholders with exposure to a highly prospective, underexplored region adjacent to world-class deposits,” Mr Wither said.
“We look forward to updating shareholders as drilling begins and to advancing our strategy to deliver multi-cycle value across our global assets.”
Date-wise, exploration programs, including field mapping and geochemistry, are scheduled to begin across Critical’s New Zealand tenements once transfers are completed. Indicative timelines extend into mid-2026.
Heading into Thursday morning trade, CRR is selling at 0.8cps.
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