ELA5537 (Cape Clear Minerals Pty Ltd) Work Program
Readers of the advertisement placed by Cape Clear Minerals Pty Ltd (CCM) on 7th January 2015 in regards to this Exploration Licence Application can read the details of the proposed work program here. A PDF of the notice of application may be read here.
EL5434 (Predictive Discovery Limited)
PDI currently holds one Exploration Licence in Victoria - Cape Clear, EL 5434 (see Figure 1). The ground is considered highly prospective for the discovery of Stawell-style gold mineralisation.
A binding joint venture agreement was signed on this EL with Cape Clear Minerals Pty Ltd (CCM) in September 2014.
Key terms of the agreement are:
- CCM earns 51% equity with $250,000 expenditure (Phase 1)
At least 1,000m of RC or diamond drilling included within $250,000 minimum expenditure in the first year
At CCM’s election, it may increase equity to 75% with an additional $250,000 in expenditure (Phase 2)
PDI may contribute to exploration expenditure or dilute after CCM reaches either 51% or 75%, depending on whether or not CCM chooses to sole fund Phase 2.
PDI’s interest converts to a 2% NSR (royalty) if its joint venture interest decreases to below 10%
- If CCM is granted the small area of vacant ground within EL5434, it will be automatically included within the joint venture. EL Application 5537 relates to this area.
CCM is a private mineral exploration company based in Victoria. It has an Exploration Licence adjacent to EL5434.
PDI entered into this joint venture with CCM in order to focus its activities on its large and highly prospective ground holdings in West Africa.
Figure 1: Locality and Geology Map of Cape Clear Exploration Licence, EL5434.