Newmont and Nexus Minerals have executed a sale and purchase agreement that will see Nexus acquire three tenements covering 190 square kilometres near its Wallbrook gold project in the Eastern Goldfields of Western Australia.
Wallbrook lies within the Carosue Dam district, which hosts over 5Moz of known gold reserves.
Nexus purchased the underexplored project from joint venture partner Saracen Mineral Holdings at the start of the year in return for a 6 per cent stake in Nexus (1.49 million shares).
Saracen also agreed to subscribe to 3.8 million Nexus shares at 8.4 cents per share with 1.9 million one-for-two attaching options (a total of $320,000) as part of the deal.
Nexus and Saracen also hold an older JV agreement over the nearby Pinnacles gold project dating back from 2015.
Newmont’s tenement package is adjacent to Wallbrook and once the deal is completed will see Nexus’s greater project area cover a contiguous 250 square kilometre gold district.
Nexus will acquire the package from Newmont for $13,100 and a 2 per cent net smelter royalty, with completion subject to governmental approval.
The company is preparing an upcoming exploration program at the site over the next six months, including a review of historical data, geological mapping, geophysical programs and target drilling.