AngloGold Ashanti to earn-in to the NJNB Project Kincora Copper has signed a definitive multiple-phase Earn-in and Joint Venture Agreement with a wholly owned subsidiary of AngloGold Ashanti plc ( AngloGold ) (NYSE: AU; JSE: ANG) for
AngloGold Ashanti to earn-in to the NJNB
Project
Kincora Copper has signed a definitive multiple-phase Earn-in and Joint Venture Agreement with
a wholly owned subsidiary of AngloGold Ashanti plc (
AngloGold
) (NYSE: AU; JSE: ANG) for
the Northern Junee-Narromine Belt (
NJNB
) Project, comprising the Nyngan and Nevertire
licenses.
AngloGold has the right to spend up to
A$50 million
to earn a 80% interest through:
A$25 million
of exploration expenditure to earn a 70% joint venture interest (Phase I)
including a minimum
A$2 million
expenditure obligation, with Kincora the initial operator for a
10% management fee.
Completion of a Pre-Feasibility Study (PFS) or funding of a further
$25 million
of
expenditure to earn a 80% joint venture interest (Phase II).
Under the agreement a wide range of virgin, large intrusive-related copper-gold targets will be
drill tested.
The undercover extension along the NJNB of the renowned Macquarie Arc porphyry copper-
gold geology is a globally significant exploration opportunity. Regional geophysics strongly
indicates that Kincora's Nyngan and Nevertire licenses host two of the very few remaining,
almost untested, volcano-intrusive complexes of the Macquarie Arc. Kincora was the early
entrant securing a district scale position in the interpreted shallow to moderate covered core
sections of the NJNB by pegging Nyngan and Nevertire.
AngloGold has now secured Earn-in and Joint Venture Agreements with both Kincora and
Inflection Resources (AUCU.CSE) (Inflection) covering ~8,000km
2
across the NJNB. AngloGold
has spent over
A$6 million
in exploration of the Inflection agreement area in the last 12 months,
with further drilling planned shortly at Inflection's Duck Creek and Moonagee prospects which
separately abut Kincora's Nyngan license
(1)
.
MELBOURNE, Australia
,
May 28, 2024
/CNW/ - Kincora Copper Limited (TSXV: KCC) (ASX:
KCC) (
Kincora
or the
Company
) is pleased to announce the execution of the definitive multiple-
phase Earn-in and Joint Venture Agreement (Agreement) that outlines the terms under which
AngloGold may earn into the wholly owned Nyngan and Nevertire licenses located in the NJNB of the
Macquarie Arc.
Mining.com.au interview with Kincora CEO: Kincora Copper secures $50 million earn-in deal with
AngloGold Ashanti
Click image to play video
John Holliday
, Technical Committee chair, and
Peter Leaman
, VP of Exploration, commented:
"We are excited to partner with bold explorer AngloGold whose support provides the
capital, technical and belt scale capacity required to aggressively drill test and begin
realising the potential of Kincora's district scale land position in the almost unexplored,
under cover NJNB extension of the Macquarie Arc.
This is virgin exploration territory and a major opportunity with huge upside offering Cadia-
scale discovery potential.
AngloGold, a successful greenfield explorer, is already investing in the belt with drilling
programmes on neighbouring projects and clearly shares our view of the NJNB having the
potential to yield a new district of Tier-1 gold rich copper porphyry system discoveries.
We look forward to commencing on the ground exploration and testing a pipeline of large-
scale targets across both the Nyngan and Nevertire licenses."
Figure 1 (See PDF):
The Macquarie Arc is a proven Tier 1 terrane and
Australia's
foremost
copper porphyry belt hosting a number of world-class mines
The Northern Junee-Narromine Belt (NJNB) is an untested district of the Macquarie Arc situated
under the post-mineral cover
Key terms of the Earn-in and Joint Venture Agreement
The key terms of the Agreement with AngloGold Ashanti Australia Limited, a wholly owned
subsidiary of AngloGold Ashanti plc, covering the Nyngan (Exploration Licence 8929) and Nevertire
(Exploration Licence 8960) projects, comprise:
AngloGold may earn a 70% initial interest by incurring
A$25 million
in total expenditure on
exploration in the initial earn-in period of up to seven years upon which a joint venture would be
formed (Phase I). This includes a minimum expenditure of
A$2 million
within the first two years
(Minimum Obligation). AngloGold is permitted to withdraw from the Agreement after satisfying
the Minimum Obligation or payment of any shortfall.
AngloGold can then earn an additional 10% interest (for a total interest of 80%) by completing a
Pre-Feasibility Study (PFS) or by funding a further
$25m
of expenditure over an additional three
years (Phase II).
During the Minimum Obligation period, Kincora will operate and conduct all exploration activities
as directed by an Exploration Management Committee that will comprise two members from
each party, and be entitled to a 10% management fee.
The Agreement is otherwise on terms that are customary for similar agreements and includes
the agreed principal terms of the proposed joint venture agreement which will apply if AngloGold
earns an interest in the NJNB tenements.
All expenditure timelines under the Agreement can be accelerated.
About the NJNB Project
Kincora was the early mover into the Northern Junee-Narromine Belt (NJNB), securing a district
scale portfolio of the interpreted most prospective and shallow to moderate covered part of the
northwards extension of the Macquarie Arc under post mineral cover.
This district is situated within a structural jog and favourably comparable to the Lachlan Transverse
Zone and other NW-SE lineaments that have often been interpreted as fundamental controls on the
formation of the intrusion related mineralized systems in the Macquarie Arc (e.g., Cadia,
Northparkes, Boda-Kaiser and Cowal-Marsden etc).
The NJNB is virgin exploration territory and offers new district-scale discovery potential with spatial
and temporal settings, coupled with regional magnetics and gravity, supportive of large-scale
intrusive complexes and targets analogous to porphyry deposits located in the southern and more
mature sections of the Macquarie Arc (see Figure 2).
It is well documented that the composite volcanic and intrusive complexes elsewhere in the belt have
large alteration and geochemical halos that are identifiable from public access regional geophysical
surveys, with the mineralised deposits generally situated on intrusive level cross-arc structures (see
Figure 2).
Despite regional magnetics effectively mapping the Macquarie Arc volcanic belts due to the post
mineral cover there has been very limited prior drilling of the northern extensions of both the Junee-
Narromine and Molong belts relative to the southern more outcropping sections. These more mature
southern exploration regions hosts over 160Moz gold equivalent inventory and a number of world-
class mines (Cadia, Cowal and Northparkes).
Figure 2 (See PDF):
The relatively mature southern portion of the Macquarie Arc hosts a
metal endowment of over 160Moz gold equivalent with the northern undercover extension
being virgin territory despite potentially hosting the largest volcano-intrusive complex
Regional magnetics effectively maps the Macquarie Arc volcanic belts with the large-scale porphyry
complexes that host the world-class mines in the Arc identifiable from public access regional
geophysical surveys with the mineralised deposits generally situated on intrusive level cross-arc
structures
The copper-gold potential of the NJNB and northern extension of the Molong belt is beginning to be
recognized as they compare extremely favourably to other global porphyry hot spots for exploration
and development (see Figure 3).
The NJNB is now largely pegged by Kincora, Fortescue Metals Group (FMG.ASX) and Inflection
Resources (AUCU.CSE). More recently Kincora has also led pegging activities in the northern
extension of the Molong belt having secured the Wongarbon project (subsequent pegging activities
by Talisman Mining (TLM.ASX) and then Inflection).
Following a new technical discovery of an inferred altered Macquarie Arc volcanic and intrusive
system at the Duck Creek prospect, located as close as 2.5km from the license boundary to
Kincora's Nyngan project, in the last 12 months Inflection secured AngloGold as an earn-in and joint
venture partner via a multiple project and phase agreement covering over 7,000km
2
(2)
. Since,
Inflection has completed extensive regional scout drilling and follow up geophysics at Duck Creek,
with AngloGold having funded over
A$6 million
in expenditure
(1)
.
I n
May 2024
, AngloGold designated Duck Creek as a Stage II project with Inflection (requiring a
further
A$7 million
expenditure hurdle to earn a 51% interest). Duck Creek is situated immediately to
the east of Kincora's Nyngan license, with deeper drilling scheduled to shortly commence and
AngloGold also recently included ground immediately west of Nyngan, the Moonagee license, in
ongoing drill plans
(1)
.
Figure 3 (See PDF):
The northern extension of the Macquarie Arc outscores many rival
emerging global porphyry districts
The Macquarie Arc is
Australia's
foremost porphyry district and a world-class mining district
About AngloGold
AngloGold Ashanti plc (NYSE: AU; JSE: ANG, market capitalization
~US$10 billion
) is a global gold
mining company with a diverse, high-quality portfolio of operations, projects and exploration activities
across nine countries on four continents. AngloGold pursues value-creating opportunities, where it
can leverage their existing assets, shareholdings, skills and experience.
AngloGold has a track record of successful exploration with its greenfields and brownfields
exploration programmes seeking to support sustainability and growth of its business. AngloGold's
greenfield exploration strategy aims to discover large, high-value Mineral Resources that will
eventually lead to the development of new gold mines.
For more information please visit AngloGold's website at
www.anglogoldashanti.com
About Kincora
Kincora Copper is an active explorer and project generator focused on world-class copper-gold
discoveries. Kincora's portfolio includes district scale landholdings and scale-able drill ready targets
in both
Australia
and
Mongolia's
leading porphyry belts, the Macquarie Arc and Southern Gobi,
respectively.
For more information please visit Kincora's website at
www.kincoracopper.com
This announcement has been authorised for release by the Board of Kincora Copper Limited
(ARBN 645 457 763)
References:
(1)
May 2, 2024: AngloGold Ashanti Selects Duck Creek as Phase II Earn-in Project in New South Wales
https://inflectionresources.com/anglogold-ashanti-selects-duck-creek-as-phase-ii-earn-in-project-in-new-south-wales/
(2)
June 14, 2023: Inflection Resources and AngloGold Ashanti Sign Definitive Exploration Agreement Across Portfolio of Copper-Gold Projects in Australia
https://inflectionresources.com/inflection-resources-and-anglogold-ashanti-sign-definitive-exploration-agreement-across-portfolio-of-copper-gold-projects-in-
australia/
Disclaimer and Previously Reported Information
The scientific and technical information this announcement is extracted from reports lodged as
market announcements referred to above, quarterly reports and available on the Company's website
www.kincoracopper.com
.The Company confirms that it is not aware of any new information that
materially affects the information included in the original market announcement and that all material
assumptions and technical parameters underpinning the estimates in the relevant market
announcement continue to apply and have not materially changed.
Qualified Person
The scientific and technical information in this announcement was prepared in accordance with the
standards of the Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43-
101 – Standards of Disclosure for Mineral Projects ("NI 43-101") and was reviewed, verified and
compiled by Kincora's staff under the supervision of
Peter Leaman
(M.Sc. Mineral Exploration,
FAusIMM), Senior Vice-President of Exploration of Kincora, and
John Holliday
(BSc Hons, BEc,
member of the Australian Institute of Geoscientists), Non-Executive Director and Chairman of
Kincora's Technical Committee, who are Qualified Persons for the purpose of NI 43-101.
JORC Competent Person Statement
Information in this announcement that relates to Exploration Results, Mineral Resources or Ore
Reserves are those that have been previously reported (with the original release referred to in this
announcement), in the case of Mineral Resources or Ore Reserves the material assumptions and
technical parameters underpinning the estimates have not materially changed, and have been
reviewed and approved by
Paul Cromie
, who is a Competent Person under the definition established
by JORC and has sufficient experience which is relevant to the style of mineralisation and type of
deposit under consideration and to the activity being undertaking to qualify as a Competent Person
as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves'.
John Holliday
and
Peter Leaman
consents to the inclusion in this
report of the matters based on his information in the form and context in which it appears. The
review and verification process for the information disclosed herein for the Trundle, Fairholme,
Nyngan, Nevertire and Condobolin projects have included the receipt of all material exploration data,
results and sampling procedures of previous operators and review of such information by Kincora's
geological staff using standard verification procedures.
Forward-Looking Statements
Certain information regarding Kincora contained herein may constitute forward-looking statements
within the meaning of applicable securities laws. Forward-looking statements may include estimates,
plans, expectations, opinions, forecasts, projections, guidance or other statements that are not
statements of fact. Although Kincora believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such expectations will prove to have been
correct. Kincora cautions that actual performance will be affected by a number of factors, most of
which are beyond its control, and that future events and results may vary substantially from what
Kincora currently foresees. Factors that could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and exploration results, continued
availability of capital and financing and general economic, market or business conditions. The
forward-looking statements are expressly qualified in their entirety by this cautionary statement. The
information contained herein is stated as of the current date and is subject to change after that date.
Kincora does not assume the obligation to revise or update these forward-looking statements,
except as may be required under applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) or the Australian Securities Exchange
accepts responsibility for the adequacy or accuracy of this release.
SOURCE
Kincora Copper Limited
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/May2024/28/c1313.html
%SEDAR: 00003952E
For further information:
Sam Spring, President and Chief Executive Officer,
[email protected] or +61431 329 345; Executive office, 400 - 837 West Hastings
Street, Vancouver, BC V6C 3N6, Canada, Tel: 1.604.283.1722, Fax: 1.888.241.5996; Subsidiary
office Australia, Vista Australia, Level 4, 100 Albert Road, South Melbourne, Victoria 3205
CO: Kincora Copper Limited
CNW 05:45e 28-MAY-24