Corazon secures Two Pools gold project in WA’s | Australian Markets

Perth-based mineral explorer Corazon Mining is taking a seemingly transformative step with its acquisition of a Western Australian gold project that positions the company to unlock a considerably underexplored greenstone belt with high-grade gold potential.

The company lately signed a binding heads of settlement with WA-based natural useful resource project developer Mining Equities to amass the Two Pools gold project in WA’s Plutonic-Marymia greenstone belt.

The deal is supported by a latest $2 million capital raiseand the appointment of mining engineer Simon Coyle as Corazon’s new managing director.

The Plutonic-Marymia greenstone belt kinds half of the bigger Proterozoic Capricorn Orogen – a linear zone considerably deformed by mountain-building processes, or orogeny. The belt lies between WA’s main Yilgarn and Pilbara cratons. The area has produced more than 6 million ounces of gold since 1990, primarily from Catalyst Metals’ Plutonic gold mine, 60 kilometres southwest of Two Pools and 180km northeast of Meekatharra.

The Plutonic mine accommodates a 3.5-million-ounce gold useful resource grading 3.1 grams per tonne (g/t), which incorporates the Plutonic Main, Plutonic East and Trident deposits. Trident continues to be beneath development.

Catalyst is working to broaden company’s mine’s useful resource by means of exploration and infill drilling on the three deposits and others within the Plutonic gold belt.

Corazon’s Two Pools project spans 193 sq. kilometres within two contiguous exploration licences, which enclose a 3-6km vast, 20km-long greenstone belt beforehand misidentified as granite.

Reprocessing of aeromagnetic information and historic drilling by Great Central Mines between 1990 and 1994 and by AIC Resources in 2018 confirmed the gold mineralisation is related to mafic and ultramafic amphibolite models.

Standout outcomes from these corporations embrace 12 metres at 8.89g/t gold, together with 3m at 34.25g/t gold in one gap, 18m at 3.89g/t gold, together with 4m at 15.96g/t gold in a second gap, and 8m at 7.83g/t gold, together with 1m at 52.24g/t gold in a third gap.

Drilling has additionally revealed gold mineralisation extending beneath an interpreted granitic overthrust, exemplified by a 5m one intercept that assayed 3.61g/t gold, together with 1m at 16.29g/t gold. The intercept factors to additional potential for blind, high-grade shoots just like Catalyst’s Trident deposit.

Two Pools’ geological setting mirrors the Plutonic gold mine, the place gold is hosted in mafic sequences within a structurally complicated framework of reverse faults and shear zones.

Surface outcrops delivered gold grades up to 34.7g/t gold from exploration rock chip samples, whereas soil sampling outlined a 400m by 1km anomaly working higher than 10 elements per billion (ppb) gold that extends into the encompassing granite cowl. The anomaly has peak values of up to 1.8g/t gold.

The anomalism factors to considerable untested potential, additional enhanced by the stratigraphic equivalence of the native greenstone within Corazon’s ground to Plutonic’s productive Unit 1 sequence.

I’m extremely happy to be main Corazon at such a pivotal time. The Two Pools gold project presents a exceptional alternative, with historic high-grade intercepts and a compelling geological setting that has been missed till now.

Coyle, who was appointed managing director earlier this month, brings more than 20 years of expertise, together with in senior roles at Pilbara Minerals, the place he helped drive that company’s lithium project to international prominence.

The WA School of Mines graduate’s experience in gold, iron ore, manganese and lithium strengthens Corazon’s exploration strategy.

The company he now leads was integrated in 2005 as Xanadu Resources and renamed in 2010 after a prior identify change from Graynic Metals. It traditionally targeted on nickel, copper, cobalt and gold exploration.

Corazon’s flagship Lynn Lake nickel-copper-cobalt sulphide project in Manitoba, Canada, consolidated in 2016, stays a core asset. Its portfolio additionally consists of the Mt Gilmore copper-gold project, close to Grafton in New South Wales. It beforehand owned the lithium-industrial minerals Miriam project in the WA goldfields.

Corazon divested 85 per cent of Miriam’s lithium and industrial mineral rights in May final 12 months to Future Battery Minerals (FBM) for $1 million in money, 16 million FBM shares and efficiency rights.

In July, FMB purchased Corazon’s remaining 15 per cent curiosity in Miriam’s lithium and industrial mineral rights, together with its base and valuable metals rights, for $350,000.

Having absolutely exited Miriam, Corazon can now prioritise its remaining strategic property, similar to Two Pools and its flagship Lynn Lake and Mt Gilmore tasks.

The company’s latest $2 million share placement at $0.002 per share is a 25 per cent low cost to the August 1 closing price. Corazon will problem one billion shares to classy and institutional buyers, pending shareholder approval in September.

The recent funds will help exploration at Two Pools, Corazon’s present tasks and supply working capital. Joint lead managers Discovery Capital Partners and Westar Capital will obtain a 6 per cent price and 50 million choices at an train price of $0.004 with a three-year expiry.

The Two Pools deal consists of a $100,000 execution price in shares at $0.002, a additional $500,000 in consideration shares and $1.5 million in efficiency rights tied to tenement grants and drilling milestones. Completion is due by November 5, subject to due diligence and approvals.

The company can also be planning a 1-for-50 capital consolidation and to problem 600 million zero-exercise-price choices to its board and management, again pending shareholder approval.

Corazon’s acquisition of the Two Pools gold project, with its high-grade gold intercepts and geological parallels to the close by Plutonic gold mine, signal immense potential in a largely untested greenstone belt.

With Coyle’s management and $2 million in funding, the company is well-positioned to advance exploration and ship an early initial JORC-compliant useful resource estimate, which may unlock important worth for shareholders.

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