Leeuwin Metals Ltd has entered a binding agreement with Mining Equities Pty Ltd to acquire a 100 percent interest in three tenements covering approximately 105 square kilometres within the Southern Cross, Forrestania and Lake Johnston greenstone belts of Western Australia.

The transaction comprises one granted exploration licence at Lake Johnston and two exploration licence applications at Marvel Loch and Forrestania. The Marvel Loch application directly neighbours the Marvel Loch gold mine.

Consideration for the acquisition consists of 350,000 ordinary shares issued at an implied price of A$0.255 per share, alongside a one percent gross revenue royalty. The transaction involves no cash outlay, with the consideration shares to be issued within the company's existing listing rule capacity. Completion is scheduled for five business days following the execution date.

The acquired ground complements Leeuwin's cornerstone Marda Gold Project in Western Australia, which is underpinned by a mineral resource estimate of 11.4 million tonnes at 1.03 grams per tonne gold for 378,600 ounces.

“This is a disciplined, low-cost acquisition that grows and complements Leeuwin's gold exploration footprint across three of the Yilgarn's proven gold-producing greenstone belts. The Marvel Loch ground in particular sits beside the Marvel Loch gold mine in a district that has produced gold for more than 130 years, and the addition of granted and application tenure at Forrestania and Lake Johnston gives us a pipeline of quality targets to advance in parallel with our cornerstone Marda Gold Project.” 

— Christopher Piggott, Executive Chairman

Following completion, the company plans to compile and validate historical exploration datasets immediately. First-pass exploration will then be conducted across the newly acquired tenements alongside Leeuwin's existing regional holdings. In parallel, the company plans to execute an approximately 10,000-metre reverse circulation extensional drilling program to test the maiden exploration target at the Marda project.

Read the full announcement: Leeuwin Acquires Tenure in Forrestania and Lake Johnston