Killi Resources lists today with eyes on a large gold and rare earths system in WA’s Tanami
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Gold and rare earths explorer Killi Resources (ASX:KLI) is set to list on the ASX today and it has its sights set on finding a large gold system in the Tanami region of WA.
The company is raising $6m at $0.20 with an expected post-IPO enterprise value of $4.5m.
And the team is highly experienced, including CEO Kathryn Cutler, chairman Richard Bevan, and non-executive directors Greg Miles and Phil Warren.
Speaking with Stockhead, Cutler said the company’s West Tanami gold project covers around 1600 square kilometres along strike from Newmont’s (ASX:NEM) Tanami gold mine – commonly known as the Granites – along with the Dead Bullock Soak, Buccaneer and Coyote gold mines, which host +19M oz gold.
“We’re looking for something similar, that’s the number one focus,” she said.
“More recently through, PVW Resources (ASX:PVW) reported huge potential for rare earths mineralisation at its Killi Killi project which strikes into our ground.
“That’s an interesting play because rare earths haven’t really been realised in this area, so it’s something interesting for us to look at in the future.”
When you consider that since its rare earths finds adjacent to Killi’s tenement border, PVW has seen a share price rise and is now a $50m market cap company, you can see why Killi is considering the parallel gold/rare earths potential at West Tanami.
Rare earths upside aside, the first cab off the rank post IPO is to undertake geophysical work along the Tanami fault system, which also hosts the Dead Bullock Soak, Buccaneer and Coyote gold mines.
“We’ll look for geophysical signatures that are similar, because they’re structurally controlled systems which we should be able to pick up reasonably well through geophysical surveys,” Cutler said.
“Then we’ll be getting out on the ground with mapping, geochemistry and rock chipping.
“We’re hoping we’ll be out there with some rigs drilling in the first half of the year.”
The company also has the Balfour copper project in WA, and two gold projects in Queensland – Ravenswood North and Mt Rawdon West.
Ravenswood North is joint venture where a Canadian company will spend $2.5m over two years to earn up to 70% of the project, with Killi retaining 30%.
Plus, the project is in the Charters Towers-Ravenswood region which hosts the Ravenswood goldfield (10Moz), Kidston (4Moz), Mt Leyshon (3Moz), Mt Wright (1.5Moz) and Reward (0.2Moz) deposits.
“It’s a really big gold district, which hasn’t really been explored in the last 20 years, so there’s potential there, which is quite exciting,” Cutler said.
Killi’s tenement covers the intersection of the two main mineralising corridors, and the company is planning a high impact drilling program in the next few months, once granted.