PERTH (miningweekly.com) – ASX-listed Tyranna Resources and joint venture (JV) partner WPG Resources have resolved a dispute over the ownership of certain tenements that form part of the Western Gawler Craton JV, which holds exploration tenements in the region of WPG’s Challenger gold mine, in South Australia.
The northern portion of one exploration licence, which surrounds the Challenger gold mine, has been the subject of dispute, with Tyranna contesting whether it forms part of the JV.
Under the binding term sheet now agreed between the two companies, Tyranna has agreed to drop its claim that the northern part of the exploration licence should form part of the JV.
In return, WPG has agreed that ownership of the tenements subject to the JV will be transferred to Tyranna and its subsidiary Half Moon, and that a new gold exploration JV will be formed between the two companies and their subsidiaries.
The two parties will retain their respective interests (WPG 34% and Tyranna 66%) and as with the old JV, Tyranna will act as manager.
WPG executive chairperson Bob Duffin said that the company was pleased that the dispute had been resolved in a "sensible" manner.
“No one likes uncertainty,” Duffin said.
“The new agreement will allow WPG to continue with its exploration and development of the down-dip extensions to the Challenger lodes in the area known as Challenger Deeps, secure now in the knowledge that it has 100% rights to this area.”
Tyranna MD Bruno Seneque said that the new agreement freed Tyranna to control its own destiny by securing ownership of the JV tenements.
“This ownership gives us the ability to explore for other minerals on the tenements and creates a tremendous opportunity to now devise a holistic exploration strategy to maximise all of our tenements.
“Our current drilling programme for gold is progressing well, with results due in mid- to late October. We are firm believers in the Jumbuck region, and are the leading junior explorer surrounding the one-million-ounce Challenger gold mine.”
Edited by: Creamer Media Reporter
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