Terramin Australia Ltd. agreed to acquire Private Mine No 53 in South Australia, which covers the historic Kitticoola copper-gold mine, from Kitticooler Holdings Pty. Ltd.
Kitticoola is located about 62 kilometers by road from the company's Angas processing facility at Strathalbyn.
Terramin will secure exploration rights and potential future mining rights over Kitticoola, and will have to pay a 2.0% net smelter royalty for all gold produced from Kitticoola, a 2.5% NSR if certain government fiscal concessions are available to PM53, and 3.0% NSR if the London Metal Exchange gold price exceeds A$1,800 per ounce or a larger than expected resource is delineated.
The company said Jan. 9 that it plans to evaluate Kitticoola by drilling to the modelled down plunge extension of the Mastermann Lode.