• Dynamic sells non-core E39/2134 tenement in the Eastern Goldfields to Western Mines Group for $20,000 cash, 100,000 WMG shares and 200,000 options as well as 1% net smelter royalty
  • Focus remains on exploring for nickel sulphides at Lake Percy and Widgiemooltha projects

 

Dynamic has sold a non-core tenement to Western Mines Group for a combination of cash, shares, options, and a net smelter royalty.

E39/2134 was one of the tenements inherited by Dynamic Metals’ (ASX:DYM) when it was spun out from Jindalee Resources at the beginning of this year.

It was part of Jindalee’s generative exploration program, which looked for opportunistic tenement applications either adjacent to existing active exploration, development, or mining operations or within areas where exploration potential was identified.

The tenement has historically been drilled with 28 aircore holes totalling 1,957m that returned maximum values of 730 parts per billion gold and 1,822 parts per million nickel. It also hosts several interpreted ultramafic bodies that have never been drill tested.

 

Continued exposure

Dynamic will receive $20,000 in cash, 100,000 in WMG shares and 200,000 options that and can be exercised for shares in WMG for 60c each within three years from the date of issue.

Besides the shares in Western Mines, the company will also retain exposure to the tenement through a 1% net smelter royalty.

“The sale of this tenement forms part of the Company’s strategy to divest non-core assets and to ensure our focus remains firmly on exploring our exceptional Widgiemooltha and Lake Percy projects. WMG have done a fantastic job exploring and understanding the potential of the Minigwal greenstone belt and we believe this consolidation offers the best chance for value realisation of E39/2134”

 

Nickel sulphide focus

Dynamic remains focused on its existing projects including the Widgiemooltha and Lake Percy nickel sulphide projects.

In March, Dynamic announced thick, high-grade nickel in maiden drilling from Dordie Far West (DFW) at Widgiemooltha, adjacent to nickel operations including Cassini, Wannaway, Mariners, Miitel, Lanfranchi in the Kambalda district.

Dynamic also believes it is on the trail of a “fertile nickel sulphide system” at the underexplored Lake Percy project in WA.

In April, drilling at Lake Percy pulled up several significant nickel hits at the LP1 and LP2 targets, including a highlight 16m @ 1.11% Ni and 645ppm Cu from 32m downhole.

In addition to these significant results from the weathering profile, bottom of hole (fresh rock) geochemistry returned 0.35%Ni, 236ppm Cu and 38% MgO plus palladium and platinum.

 

 

 

This article was developed in collaboration with Dynamic 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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