ASX-listed Aurum Resources has announced, through its wholly-owned subsidiary Plusor Global, signing of an agreement to earn up to an 80% interest in each of two contiguous permit applications (Encore JV permits) and grow the landholding at its 1.6 moz Boundiali Gold Project in Côte d'Ivoire.
Highlights:
- Encore Project applications (No. 1740 and No. 1745) totalling nearly 320km² are strategically located between Aurum's existing BD and BST tenements and south of BM, offering growth potential for its 1.6 moz Boundiali Gold Project.
- Staged earn-in agreement aligns expenditure with milestones for each permit area.
- All-scrip consideration to Vendor (Encore Resources Côte d'Ivoire SARL):
- Options: 4 million AUE options (2 million per permit application) exercisable at 110% of five-day VWAP.
- Shares on Grant: 4 million AUE shares (2 million per permit) for a 30% interest in each granted exploration licence.
- Resource Milestones: Up to 8 million AUE shares (1 million shares per 250,000 oz JORC Inferred, Indicated or Measured resource, capped at 4 million shares per permit area).
- Aurum’s Earn-in Terms (per permit area):
- Path to 51% interest: 4,000m diamond drilling.
- Path to 80% interest: Additional 8,000m diamond drilling (total 12,000m) OR US$2.5 million nominal expenditure.
Aurum Managing Director Dr Caigen Wang commented:
"This Encore JV is a highly strategic acquisition, significantly enhancing our position in the Boundiali gold belt with an additional 316km² of ground that is adjacent to existing tenements where we have already defined Mineral Resources. Therefore, these two permit applications are ideally located to complement and potentially expand our existing 1.6 moz Boundiali Gold Project.
“The terms, applied per permit, allow for a focused and staged investment, aligning our expenditure with exploration success. The equity incentives ensure strong alignment with Encore Resources. We are excited by the potential to unlock substantial value across these new licence areas for our shareholders."
