- IGO (IGO) claims 70 per cent stake in Fraser Range joint venture tenements alongside Carrawine Resources (CWX) after satisfying a $5 million exploration spend
- IGO upped its 51 per cent stake after conducting more than 14,800 metres of regional and targeted drilling across the five Western Australian tenements
- Carrawine owns the remaining 30 per cent but this could be dialled back to 24 per cent after indicating it would not contribute to near-term exploration costs
- IGO and Carrawine Resources shares were both trading in the green at $7.55 and 22.5 cents, respectively
IGO (IGO) has claimed a 70 per cent stake in Fraser Range joint venture tenements alongside Carrawine Resources (CWX) after satisfying a $5 million exploration spend.
IGO purchased a 51 per cent interest in the Western Australian tenements from Carawine in 2016 with the right to earn an additional 19 per cent interest by spending $5 million on exploration within five years.
Since then, IGO said it has completed more than 14,800 metres of regional and targeted air core drilling and surveyed over 5000 gravity and 900 ground-based moving-loop electromagnetic stations.
The joint venture has now proposed an approximate $1.3 million exploration work programme and budget for the next year, however Carawine has indicated it will be dialling back its involvement.
“Our focus right now is advancing our majority-owned Tropicana North gold project where we have the best chance of delivering high returns from exploration success,” Carawine Managing Director David Boyd said.
The move could see its interest in the venture diluted to 24 per cent from its current 30 per cent holding.
The joint venture covers five granted tenements at Red Bull, Bindii, Big Bullocks and Aries.
IGO and Carrawine Resources shares were both trading in the green at $7.55 and 22.5 cents respectively at 1:15 pm AEST.