Odessa Minerals (ASX:ODE) exercises option to acquire WA tenement

• Odessa Minerals (ODE) chooses to exercise its option to acquire an exploration licence from Historic Gold Mines
• The licence expands the company’s existing Lyndon project to 754 square kilometres within WA’s Gascoyne region
• Odessa says this area has “considerable potential” for lithium pegmatites and rare earth element carbonatites
• The agreement is now subject to certain approvals and once settlement is reached, Odessa will either issue five million shares or pay $115,000 in cash
• Company shares are up 25 per cent and trading at 2.3 cents at 3:05 pm AEDT.

Odessa Minerals (ODE) has decided to exercise its option to acquire the E08/3217 exploration licence from Historic Gold Mines.

The companies signed a binding agreement late last month for Odessa to acquire the 148-square kilometre tenement which lies within the Gascoyne region of Western Australia.

Odessa paid Historic Gold Mines a $10,000 deposit to have 20 days of exclusivity to conduct technical due diligence and decide whether it would proceed with the acquisition.

Significantly, the E08/3217 tenement increases Odessa’s Lyndon project to 754 square kilometres, an area which holds “considerable potential” for lithium pegmatites and rare earth element carbonatites.

Odessa Minerals Executive Director David Lenigas said Lyndon is proving to be an “exciting and prospective” project.

“The decision by Odessa to exercise its option to acquisition of E08/3217 enlarges our tenement holding in the rapidly developing Gascoyne province of Western Australia,” Mr Lenigas said.

The agreement is now subject to ministerial consent and any third party agreements required from the vendor.

Upon settlement, Odessa will issue five million fully paid shares or $115,000 in cash if Odessa isn’t able to obtain all the necessary regulatory and shareholder approvals.

ODE was up 25 per cent with shares trading at 2.3 cents at 3:05 pm AEDT.