Westgold Resources Ltd. and Musgrave Minerals Ltd. agreed to cooperate over the exploration and development of their assets in the Cue district of Western Australia's Southern Murchison region, Westgold said May 28.
Musgrave owns near-development gold projects in the area, neighboring a number of Westgold's assets such as the Cue gold operations. Cue includes the Tuckabianna process plant, which reached commercial production in April.
Under the cooperation deal, Westgold agreed to provide funding for further exploration at Musgrave's projects in the region by taking a 15% diluted position in Musgrave for about A$3.4 million. The companies also plan to study the commercialization of Musgrave's projects.
