‘Compelling opportunity’: Creasy-backed Myanmar is on the hunt for large-scale gold systems
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Special Report: Near term base and precious metals miner Myanmar Metals has been running the ruler over a pipeline of potential acquisitions in the mineral-rich but underexplored southeast Asian nation. Locrian Precious Metals was a clear stand-out.
Myanmar Metals (ASX:MYL) is nearing first production from the massive, famously rich Bawdwin mine, backed by industry heavyweights like private base metals miner Perilya (18.08 per cent) and famous prospector Mark Creasy (11.48 per cent).
The Bawdwin joint venture in Myanmar is set to become world’s #3 lead and #9 silver producer when production restarts in 2022.
But the company’s strong reputation in-country is yielding a pipeline of other potential project acquisitions. It was also Myanmar Metals’ strategy to look at other opportunities in Myanmar once Bawdwin reached the definitive feasibility study (DFS) stage.
The company has now locked in a deal to acquire up to an 85 per cent stake in standout opportunity Locrian Precious Metals, which holds two gold-copper exploration licences — Tarlay and Mongywang — in eastern Shan State, Myanmar.
There’s potential here for district scale gold discoveries, both deeper mesothermal gold bearing veins as well as shallow level ‘epithermal’ gold systems, Myanmar Metals says.
Mesothermal veins, a major source of the world’s gold production, can be very large and high grade.
Epithermal deposits are high grade, but generally smaller and shallower — making it easier and cheaper for miners to get the gold out of the ground.
Both of these styles are being mined just outside of the Locrian project areas by local companies.
Myanmar Metals chief executive John Lamb says Locrian is a compelling investment opportunity.
“Numerous artisanal gold mines have been identified near-to and within the exploration licence application areas, and other areas of anomalous gold as well as associated pathfinder elements have been recently identified in regional exploration which require follow-up,” he says.
“We are eager to get going with modern, systematic exploration to evaluate the broad gold anomalism identified to date.”
A recent site visit provided “encouraging geological information”, including the discovery of coarse gold grains in panned stream samples:
A systematic exploration program will kick off mid-March with geological mapping, stream sediment sampling, and acquisition of remote sensing data.