Forrestania Resources Seizes Control Of Promising Mt Palmer Gold Project

Forrestania Resources to Take Full Ownership of Mt Palmer Gold Project in Western Australia

In a significant move to solidify its presence in the Australian gold mining industry, Forrestania Resources has agreed to acquire the Aurumin Mt Palmer, Aurumin Johnson Range, and Aurumin Mt Dimer subsidiaries from Newcam Minerals. This deal will enable Forrestania to take full ownership of the Mt Palmer gold project in Western Australia (WA), marking a major milestone in the company’s expansion plans.

The acquisition is set to be executed through the issuance of nearly 37.9 million ordinary shares in Forrestania at A$0.475 per share, totaling A$18m ($12.5m). This investment will not only demonstrate Forrestania’s commitment to the Mt Palmer project but also provide a significant boost to its capital structure.

Located approximately 15km east of Marvel Loch in the Shire of Yilgarn, the Mt Palmer gold project has a rich history of mining using both open-pit and underground methods. Since its inception, the project has produced an impressive 158,000oz of gold at an average grade of 15.9 grams per tonne (g/t). The project’s past production is a testament to its potential for future growth.

Aurumin Mt Palmer holds a 20% interest in one mining lease and three exploration licences near Forrestania’s Southern Cross Hub. Notably, the remaining 80% is already held by Forrestania following the takeover of Kula Gold. This strategic acquisition will enable Forrestania to consolidate its control over the project, allowing it to make key decisions regarding development and expansion.

In addition to the shares for Aurumin Mt Palmer, Forrestania will issue nearly 13 million shares to acquire Aurumin Johnson Range and Aurumin Mt Dimer. These acquisitions will further expand Forrestania’s presence in the Southern Cross Hub and Mt Dimer, solidifying its position as a major player in Western Australia’s gold mining industry.

The Mt Dimer Hub lies within the Marda-Diemals Greenstone Belt of the Southern Cross Domain in the Yilgarn Craton. This domain comprises greenstone belts flanked by granite formations and includes the Mt Dimer, Johnson Range, and Mt Jackson project areas. The acquisition of these tenements will enable Forrestania to tap into this valuable mineralized zone, providing a significant boost to its exploration and production efforts.

The agreements include milestone payments linked to future mineral resource estimates. These payments are designed to incentivize Forrestania’s technical team to continue exploring the project’s vast potential. By tying payment milestones to resource estimates, Forrestania can ensure that the acquisition is aligned with successful exploration and acquisition outcomes.

Forrestania technical director Brett Hodgins stated: “This ability to acquire the remaining 20% interest in the Mt Palmer project allows FRS [Forrestania Resources] to expedite the project development with FRS shareholders now the sole beneficiaries. The Mt Palmer project will be a key ore source as FRS moves towards gold production from the Lake Johnston processing facility.”

The acquisition of Aurumin Mt Palmer is a crucial step towards achieving Forrestania’s expansion plans and providing a boost to its capital structure. With its commitment to exploration and development, Forrestania is well-positioned to capitalize on the vast mineral resources available in Western Australia.

Forrestania has been actively working to expand its operations, including the initiation of a diamond drilling programme at its Forrestania Hub in WA, specifically targeting the Lady Lila Project. This acquisition marks an exciting milestone for Forrestania Resources as it takes a significant step towards solidifying its position in Western Australia’s gold mining industry.

The Mt Palmer gold project holds immense potential for future growth and development. Forrestania’s acquisition of this project will enable it to tap into its vast resources, providing a significant boost to its production ambitions. As the company moves forward with its expansion plans, one thing is clear: Forrestania Resources is on the cusp of something big.

The deal sets an exciting precedent for Forrestania’s continued growth and expansion. With its commitment to exploration and development, the company is well-positioned to capitalize on the vast mineral resources available in Western Australia. As it moves forward with its plans, Forrestania will undoubtedly remain at the forefront of the region’s gold mining industry.

Forrestania Resources’ acquisition of Aurumin Mt Palmer marks a significant milestone for the Australian gold mining industry. The deal demonstrates the company’s commitment to expansion and growth, providing a boost to its production ambitions and solidifying its position in Western Australia’s gold mining landscape.

The acquisition will enable Forrestania to tap into the vast potential of the Mt Dimer Hub, providing a significant boost to its exploration and production efforts. With its strategic expansion plans and commitment to exploration and development, Forrestania is poised to make a lasting impact on the region’s mining scene.

Forrestania Resources’ technical director, Brett Hodgins, has emphasized the importance of expedited project development and the need for further consolidation of tenure within the Mt Dimer Hub. The acquisition of Aurumin Mt Palmer is a crucial step towards achieving this goal, providing Forrestania with a significant boost in its production ambitions.

As Forrestania Resources continues to expand its operations, it is clear that the company is committed to making a lasting impact on the region’s mining landscape. With its strategic expansion plans and commitment to exploration and development, Forrestania is well-positioned to capitalize on the vast mineral resources available in Western Australia.

The acquisition of Aurumin Mt Palmer by Forrestania Resources sets an exciting precedent for the company’s continued growth and expansion. As it moves forward with its plans, Forrestania will undoubtedly remain at the forefront of the region’s gold mining industry.

Forrestania Resources’ acquisition of Aurumin Mt Palmer has significant implications for the Australian gold mining industry as a whole. The deal demonstrates the company’s commitment to expansion and growth, providing a boost to its production ambitions and solidifying its position in Western Australia’s gold mining landscape.

The Mt Palmer gold project holds immense potential for future growth and development. Forrestania’s acquisition of this project will enable it to tap into its vast resources, providing a significant boost to its production ambitions. As the company moves forward with its expansion plans, one thing is clear: Forrestania Resources is on the cusp of something big.

In summary, Forrestania Resources’ acquisition of Aurumin Mt Palmer marks an exciting milestone in the company’s journey towards becoming a major player in Western Australia’s gold mining industry. With its commitment to expansion and growth, Forrestania is poised to make a lasting impression on the region’s mining landscape.