Marmota Resources has purchased the Jumbuck gold project in South Australia from Tyranna Resources for $2.4 million.
The project surrounds the Challenger gold project, owned by Barton Gold, which has an estimated mineral resource of 65,000 ounces of gold.
Jumbuck is located about 180 kilometres south-west of Coober Pedy.
Marmota chairman Colin Rose said the purchase will more than double the company’s exposure to gold in the Gawler Craton – from around 5000 to over 12,000 square kilometres.
Being in an area proven to be highly prospective, Rose said the company couldn’t be happier with the deal.
“The Jumbuck gold project is our immediate neighbour in the Gawler Craton. We are very pleased that this critical hurdle has been achieved, leaving only ministerial consent to enable completion,” Rose said.
Once ministerial consent is given, over the next two to three months, an extra $500,000 of new Marmota shares will be given to Tyranna as well to satisfy the total $3 million acquisition (with $100,000 to be paid upon total completion of the deal).
In November 2020, when the deal was announced, Rose said the outcome was beneficial for both parties.
“It our backyard… our exploration team know the ground. We believe that if anyone can make it work, Marmota can,” Rose said.
“The sale price at $3 million is three times the amount originally offered, and we believe is also an excellent outcome for Tyranna shareholders.”