Syndicated Metals Ltd. exercised its option to purchase the right to farm-in to 85% of the Newfield gold project in Western Australia from Newfield Resources Ltd.
The company said May 20 that it also secured an option over the adjacent Carterton gold project. The combined projects will be called the Newington gold project.
Syndicated paid an initial A$25,000 cash and is required to pay a further A$25,000. It also issued 30 million shares and 10 million options to purchase the right to earn up to 85% of the Newfield project.
The company can earn an initial 70% of the Newfield project by spending at least A$300,000 within the first 12 months and a further A$600,000 within the following year, Newfield Resources said the same day.
A further A$250,000 payment will be due on reporting a JORC-compliant mineral resource estimate of over 150,000 ounces of gold.
The company plans to kick off a maiden exploration program at Newfield in the next month, which will include an initial drilling program to target extensions of the previously mined Newfield Central deposit.
Syndicated secured an option in April to purchase the Carterton project from Gateway Mining Ltd. by paying an initial A$10,000 cash, maintaining the tenement in good standing for the duration of the option period, and paying A$300,000 in cash or shares plus a 1.5% royalty.