Gold and copper explorer Torrens Mining Limited (ASX: TRN) has received notice that its farm-in partner Coda Minerals Limited (ASX: COD) has earned an additional 19% interest in the Elizabeth Creek copper project, following exploration expenditure of an additional $2.75 million (Stage 3 Earning Obligation), bringing its earned interest up to 70%, for an overall expenditure of $6.62 million.
Torrens’ farm-in partner Coda has now earned a 70% interest in the Elizabeth Creek Copper Project in South Australia.
Torrens to be free carried for a further $2 million exploration expenditure.
Drilling continues to test the Emmie Bluff Exploration Target.
Drilling also planned to test deep IOCG targets at the Emmie Bluff Deeps and Elaine prospects.
The announcement released by Coda is available on the ASX market announcements platform under the ticker code “COD”.
Under the terms of the Farm-in and Joint Venture Agreement (Farm-in Agreement) between Coda and Terrace Mining Pty Ltd (Terrace), a wholly owned subsidiary of Torrens, Coda will now free carry Terrace for an additional $2 million expenditure, upon completion of which a Joint Venture between the parties will be formed to continue exploration and development activities.
Following formation of the joint venture, the parties will contribute to the expenditure of the project in accordance with their interest in the project (please refer to Section 6 of Torrens’ Prospectus dated 13 November 2020 for a summary of the material terms of the Farm-in Agreement).
Torrens’ Managing Director, Steve Shedden, said: “Coda’s achievement of earning a 70% interest in the Elizabeth Creek Copper Project, done so through the investment of at least $6.62 million on exploration since the partner’s entry into the project in March 2017, is a great endorsement of both the Project and Coda’s determination to progress it.”
“Torrens enjoys a very close professional relationship with Coda, and I believe that the association with both the Project and Coda materially contributed to the success of Torrens’ January 2021 listing on the ASX.”
“We will continue work closely with Coda as they progress the Elizabeth Creek Project during the free carry period.
“A drill rig is presently turning at Elizabeth Creek, and we look forward to reports on progress on this and other activities in the continued investigation of the Emmie Bluff Copper-Cobalt Exploration Target and planned exploration of deeper Iron Oxide Copper-Gold at the Emmie Bluff Deeps and Elaine Prospects.”
“We are even more excited by what these prospects may hold, in the light of BHP’s recent sensational drilling success at the nearby Oak Dam West copper project.”