Cohiba gets its hands on more copper prospects
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Cohiba Minerals has acquired the remaining 20% of the Olympic Domain tenements, freeing the company to focus solely on its highly prospective ground in the mineral-rich Gawler Craton.
The 100% interest in the Olympic Domain tenements will now be formally registered by Cohiba (ASX:CHK) with South Australia’s Department of Energy and Mining.
The emerging explorer was encouraged to make the move after the discovery of high grade copper and a potential IOCG (Iron Ore Copper Gold) system at its Horse Well Prospect and it will continue to assess more drill targets over coming months.
Activity in the region is heating up with a number of large companies announcing exploration programs or resource definition drilling at their areas of interest.
It’s also the home of the $1b Carrapateena IOCG deposit, the main prize in BHP (ASX:BHP)’s $9.6b takeover of OZ Minerals, as well as BHP’s Olympic Dam and Oak Dam.
Chief Executive Officer Mr Andrew Graham said, “We are pleased to finally come to this agreement and for the Company to own a 100% interest in these Olympic Domain tenements. Our goal remains the same, to build significant shareholder value through the identification of one or more IOCG deposits within our tenement package.”
Cohiba will issue 40 million fully paid ordinary shares to Olympic Domain with a deemed issue price of $0.005 each and a three-month escrow.
IOCG deposits, Olympic Dam, can yield extremely large and high-grade concentrations of copper, gold and other economic minerals.
Horse Well is also only 5km from BHP’s Oak Dam as well as Carrapateena.
M&A action has been running hot in regions rich in the red metal, such as the Gawler Craton, given escalating copper demand from clean energy technologies and electrification.
Meanwhile a review last month of results from Cohiba’s Pernatty C project, also in the world-class copper region, has shown there’s good potential for a significant zinc deposit.
Already the fourth most widely consumed metal globally, zinc is also used clean tech products such as EVs, solar panels and wind turbines.
This article was developed in collaboration with Cohiba Minerals 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.