Thomson close to completing Texas silver buy
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Thomson is closing in on completing the acquisition of the Texas silver project in Queensland that includes the historical Twin Hills mine.
This comes after the company received indicative approval for the transfer of the tenements that make up the project from MRV Metals, which is currently in liquidation.
Thomson Resources (ASX:TMZ) is progressing with the next steps of the acquisition such as the stamp duty assessment of the sale agreement and payment, which will enable the required financial assurance to be determined.
Meanwhile, it is working with the receivers of MRV to bring the site back up to an acceptable standard for its use as a base to work on the projects that make up its Fold Belt Hub and Spoke centralised processing strategy in the NSW-Queensland border region.
It is also assisting the receivers and working with the Queensland Department of Environmental Science on site water management issues resulting from heavy rains encountered recently in the region.
Twin Hills historically produced about 1.4 million ounces of silver and forms part of the Fold Belt Hub and Spoke projects which include the Webbs and Conrad silver deposits, the earn in of up to 70% and JV on the Mt Carrington silver-gold project in QLD, the Hortons gold project and the Silver Spur mine, which is in the same district as Texas.
Thomson has drilled a single diamond hole at the Wilgaroon project that intersected a wide zone of low-grade tin-tungsten mineralisation associated with a swarm of granitic dykes.
While this hole did not encounter mineralisation lower down on the granite contact itself as it was designed to, it did confirm a 450m strike length of tin-tungsten mineralisation that remains open at both ends.
This drilling was partially funded under a grant of up to $45,000 under the NSW New Frontiers Co-Operative Drilling Scheme.
Separately, the company is planning to carry out regional drilling at the Mallee Hen gold project in NSW’s Lachlan Fold Belt.
This will be carried out in conjunction with follow-up drilling at its flagship Harry Smith gold project in late 2021 and early 2022.
While recent drilling to test for further gold mineralisation around historical workings at the Mallee Hen mine intersected just weak or narrow mineralisation topping up at 1m at 1.1 grams per tonne (g/t) gold, the general area remains prospective with many indications of prospective mineralisation.
This article was developed in collaboration with Thomson Resources, 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.