Anova has reached a binding agreement to acquire the high-grade Warriedar gold project in Western Australia’s highly-prospective Murchison region.

The $1.2m all-scrip acquisition is in line with the company’s strategy of owning and developing high potential projects in Tier 1 mining jurisdictions which have the potential to create significant shareholder returns.

Warriedar comprises seven tenements totalling 68km2 about 420km northeast of Perth and is a proven high-grade gold producer through a historical open pit and underground mining activities.

Importantly for Anova Metals (ASX:AWV), the project still has plenty of exploration upside with most of the target Reids Ridge belt, which extends for more than 3km, still untested by drilling.

Drilling carried out in 2021 has also returned results such as 20m at 2.12 grams per tonne (g/t) gold within the same mineralisation trend as Reids Ridge.

The project is also drill-ready with an existing Program of Work in place with fauna and flora surveys already completed.

“Aligned with our recently enunciated portfolio strategy, we have contracted to acquire the highly prospective Warriedar gold project in Western Australia,” managing director Dr Amanda Buckingham said.

“Warriedar sits in one of the best known Archean greenstone belts in WA. High grade historic gold mineralisation has been confirmed in recent drilling success.

“Structures that control the high-grade Reids Ridge trend at Warriedar extend more than 3km along strike, and exhibit anomalism in surface geochemistry and geophysical responses. However, only a small portion of the belt has been tested by drilling programs.

“Upon completion of this acquisition, Anova will own 100% of two gold assets with expansive exploration potential located in two leading mining jurisdictions globally. The company is well-funded to commence exploration at Warriedar quickly and intensively.”

Warriedar project

Mining operations at the project began as early as 1910 with most production coming from the Reids Ridge operation, which produced high-grade ore from underground mining intermittently from 1913 to 2005.

Despite this activity, drilling by vendor Red Dirt has confirmed the depth extension of high-grade mineralisation.

Historical mining activities also occurred at other prospects, such as Commodore, which is an along-strike extension north from Reids Ridge.

Recent drilling has also confirmed the mineralisation extends along strike from Reids Ridge through Commodore.

 

 

 

This article was developed in collaboration with Anova Metals, a Stockhead advertiser at the time of publishing.

 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

 

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