Gold and copper explorer Torrens Mining Limited (ASX: TRN) (Torrens or the Company) today confirmed the commencement of the joint venture for the Elizabeth Creek Copper Project (the Project), as detailed in an announcement to ASX by Coda Minerals Limited (Coda) (ASX: COD) this morning.
Elizabeth Creek Copper Project Joint Venture has commenced.
The Joint Venture Committee has approved an exploration and feasibility budget.
Drilling scheduled to resume later this month.
Focus is on delivering a JORC-compliant Mineral Resource for the Emmie Bluff Cu-Co deposit.
By way of background, Torrens purchased the Elizabeth Creek Copper Project in December 2015, through its wholly owned subsidiary, Terrace Mining Pty Ltd (Terrace). After Torrens undertook scoping studies into the potential mining of the MG14 and Windabout Cu-Co deposits, Gindalbie Metals Limited farmed into the Project in March 2017 under a farmin and joint venture agreement. That agreement was novated to Coda in May 2018. Under the agreement, Coda was required to expend up to $8.62 million to earn up to a 70% interest in the project, with Coda also holding an irrevocable option to purchase an additional 5% interest for $1.5 million.
As forecast in Torrens’ Prospectus of 13 November 2020, Coda has now passed the $8.62 million threshold, as detailed in Coda’s announcement, and the joint venture phase contemplated under the agreement has now commenced, with Torrens holding (via Terrace) a 30% interest and Coda 70%, with Coda as the operator and manager of the Project.
Torrens’ Managing Director Steve Shedden said:
“We congratulate Coda on its marvellous achievement of achieving expenditure of $8.62 million on the Elizabeth Creek Copper Project.
Coda has proven to be a very professional partner, determined to advance the Project.
When Torrens acquired the Project, our focus was on potential development of the Zambian-style MG14 and Windabout copper-cobalt deposits. Coda has since expanded the scope of the Project to embrace the vast Emmie Bluff deposit, and we look forward to working with them on delivering a maiden Mineral Resource Estimate for that deposit later this year.”