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Encounter, Newcrest expands joint venture footprint by over 30%

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Encounter, Newcrest expands joint venture footprint by over 30%

Encounter Resources Ltd. said March 12 that its joint venture area with Newcrest Mining Ltd. increased by over 30% to 5,900 square kilometers after securing an additional 1,400 square kilometers of exploration tenure at its Selby and Aileron projects in Western Australia.

The Selby project was expanded by over 300 square kilometers to cover new targets located adjacent to the over 7-kilometer-long Mohave and Afghan gold trends. Meanwhile, 1,100 square kilometers were added to the Aileron joint venture.

A drilling program will be conducted at Selby this year, and an initial field reconnaissance will be conducted at Aileron shortly in preparation for a diamond drilling program.

In May 2018, Encounter and Newcrest reached deals to form an initial 50/50 joint venture over five projects: Selby, Watts, Lewis, Phillipson and Aileron. Under the agreement, Encounter received A$400,000 from Newcrest on the grant of tenement E80/5045.

Encounter obtained in September 2018 seven exploration licenses for 3,500 square meters of exploration tenements in Western Australia as part of the joint venture.