Hammer Metals has agreed to acquire 100% of Chinalco Yunnan Copper Resources’ (CYU’s) tenement interests in the Mount Isa district.
The acquisition includes a 100% interest in EPM’s 14019, 14022 and 12205 which cover the previously defined Elaine-Dorothy copper-gold resource of 27 Mt at 0/53% Cu and 0.08g/t Au, the GEM copper-gold resource and the Elaine uranium prospect as well as a range of other copper-gold drill intersections at the Mt Dorothy, Pindora and Prince of Wales prospects.
The tenements also cover strike extensions of mineralised trends and favourable host rock identified within Hammer’s adjacent tenements.
Hammer said it will initially focus on assessing the potential of several high-grade gold intercepts within the Elaine-Dorothy deposit to form higher grade internal lodes.
The acquisition also includes CYU’s 51% interest in EPM 14467 (Mt Frosty), located adjacent to the Mary Kathleen uranium mine and which covers the Blue Caesar, Jubilee and Koppany copper prospect. The tenement is currently in joint venture with a third party.
According to Hammer, the acquisition of the interest in this tenement is contingent on the Company reaching agreement with the third party within 45 days of signing the purchase agreement on acceptable revised commercial terms to the current JVA.
Hammer Metals CEO Alexander Hewlett said the acquisition expands the company’s strategic tenement position within the Mount Isa region where Hammer holds 100% interest in the Kalman (Cu-Au-Mo-Re) deposit, the Overlander North and Overlander South (Cu-Co) deposits and the Millennium (Cu-Co-Au) deposit.
“This acquisition significantly enhances Hammer’s Mount Isa Project by acquiring additional copper-gold resources and a range of advanced copper-gold targets,” he stated.
“Evaluating the potential of the Elaine Dorothy deposit for high grade gold zones is of particular interest.”
