New Talisman Gold Mines has obtained the remaining 80% of the Rahu project in New Zealand through its acquisition of Newcrest Mining subsidiary, Newcrest New Zealand Exploration. The sale and purchase agreement supersedes the previous agreements with joint venture partner Newcrest.
New Talisman, which owns 20% of the project, is evaluating options to fast track the exploration project having acquired all geological and site targeting data and logging.
The Rahu permit is to the north of Karangahake Gorge, between Mackaytown and Waikino. It covers the Rahu Ridge-White Rocks area, which is primarily rolling farmland, and extends into Department of Conservation scrub and forest in the north of the permit.
Access into the middle part of the permit is via Rahu Road, with further access from farm tracks.
New Talisman’s CEO Matthew Hill said “Following discussions with Newcrest it was agreed that New Talisman could acquire Newcrest’s 80% interest in the Rahu project. We are very excited by the opportunity of this drill-ready prospect and appreciate the efforts of the Newcrest team in completing this transaction in a short space of time.”
Company chairman Charbel Nader said, “We are pleased to take over effective ownership of the Rahu asset. Newcrest has been a great partner, however with our on-ground NZ presence and expertise, and our desire to move ahead in developing this asset expeditiously, this deal makes sense for all.”
Prior to entering joint venture discussions with Newcrest New Talisman had completed a comprehensive exploration and evaluation work program on the permit which had delineated a 700 metre wide x 1.5km long NNE trending zone of mineralisation and hydrothermal alteration. This has been shown to be the NNE extension of the Karangahake system recognised within the Talisman permit.
There have been 31 drill holes, totalling 4585 metres, completed into this structure and these have intersected highly anomalous gold and silver values with some high-grade gold and silver intercepts.
Upon successful completion of a placement and conditional upon sufficient funds raised, the sites which have been targeted by Newcrest for drilling will be finalised and applications made to commence drilling as soon as possible.
Resource estimation carried out based on previous results has determined a JORC 2012 compliant resource of 41,590 ounces of gold and 258,400 ounces of silver in the indicated and inferred categories.
Exploration targets have been estimated at 14 million tonnes ranging between 0.5 g/t and 2.0 g/t gold for between 225,000 and 902,000 ounces of gold.