Gold exploration company Vango Mining has entered a join venture agreement with Dampier Gold for the K2 gold deposit in Western Australia.
The K2 deposit is a part of Vango’s Plutonic Dome gold project in Western Australia’s Mid-West region.
Under the Binding Term Sheet agreement, the companies will form a joint venture to conduct further exploration and begin gold production at K2.
Dampier will provide $3 million for the development of a mine at K2, and for exploration and mining of gold ore. It will also be used for gold processing.
Vango executive chairman Bruce McInnes said the agreement, “provides a clear pathway for the funding and development of the asset into production and represents a significant point in the evolution of the Plutonic Dome project, in line with our goal to develop a substantial gold mining operation”.
Vango will manage the development of K2 while Dampier will manage the exploration.