Brightstar Resources Limited (ASX:BTR) Announces Earn-in Agreement with Cazaly Resources
Earn-in Agreement Details
Brightstar Resources Limited (ASX:BTR) has signed a binding Term Sheet with Cazaly Resources Limited (ASX:CAZ), granting Cazaly an option to earn up to an 80% interest in the Goongarrie Gold Project through exploration expenditure of up to $3 million. Cazaly can earn 25% by spending $1 million over 12 months, an additional 26% by spending another $1 million over 18 months, and a further 29% by spending an additional $1 million over 18 months. Upon earning an interest, Brightstar and Cazaly will form a Joint Venture.
Operational and Exploration Update
The earn-in agreement allows Brightstar to prioritise operational and development activities, including advancing Definitive Feasibility Study workstreams and continuing mining operations at the Second Fortune Gold Mine. Additionally, Brightstar is undertaking start-up works at the Fish underground project. The company’s exploration strategy focuses on enhancing and expanding existing mineral resources at projects with granted mining leases and near-term commercialisation pathways, such as the Sandstone, Menzies, and Laverton areas.
Executive Comments
Managing Director Alex Rovira stated, “With our focus on development and mining operations across the broader Eastern Goldfields and Murchison regions, we are delighted to have attracted a quality partner in Cazaly to explore the Lake Goongarrie area in greater detail, while retaining exposure and upside to exploration success with the joint venture.
Our focus in the general Menzies area is on the Lady Shenton System where we are defining a large open pit mining complex as part of our DFS, whilst we continue to explore and assess other deposits such as Yunndaga and the Link Zone for future mining opportunities to increase our operational footprint in the Menzies area.”
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.