Terrain Minerals has announced that it has entered into an option agreement to acquire the Rembrandt gold project in Western Australia’s Goldfields.
The Perth-based company is obliged to spend $25,000 on exploration to secure a 3-month option to acquire 100% of project owner Rembrandt Mining.
“Through the low cost option structure entered into with Rembrandt, Terrain has exposure to a high grade project with significant exploration upside, without an onerous cost structure,” said Terrain’s Executive Director, Justin Virgin in an ASX Announcement.
“Terrain will rapidly test the potential of Monet Prospect and determine if it represents a near term cash flow opportunity for the company. Additionally Terrain is seeking similar opportunities which have the potential of providing significant shareholder value.”
The Rembrandt Gold Project consists of two granted exploration licences and two prospecting licenses.
Under the terms of the agreement, Rembrandt will be free carried to receive 25% of the profit from the project up to 15,000 ounces and 15% of the profit from the project for ounces produced over 15,000.
Terrain said that it is currently consulting Rembrandt about an exploration program to confirm the high grade historical drill intercepts and determine their potential depth and strike extents.
Terrain Minerals is a West Australian based minerals exploration company focused on the Eastern Goldfields of Western Australia.
The company currently holds two projects: the Great Western Project and the Gimlet Project in the Fraser Range nickel province in WA.