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ASX Announcement 2 November 2015
Cape Lambert Signs Farm-In JV Agreement with Argosy on Wee MacGregor Project
Australian resource and investment company, Cape Lambert Resources Limited (ASX:CFE) (Cape Lambert or the Company) wishes to announce that it has executed a Farm-in Joint Venture Agreement (Agreement) with Argosy Minerals Limited (ASX: AGY) (Argosy or AGY), on part of its Wee MacGregor Project located in north-west Queensland (the Project). Wee MacGregor is held by the Company's subsidiary Mining International Pty Ltd (MIPL).
The Agreement covers granted mining licences ML 2504, ML 2773 and ML 90098, which are located approximately 60km southeast of Mt Isa with access via the sealed Barkly Highway. These mining licences were excluded from the sale of the Company's Leichhardt Copper Project, which was sold back in 2013.
Key terms of the Agreement are;
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Argosy will earn a 51% interest in the Project subject to meeting a Project expenditure of $500,000;
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Argosy will be required to expend a minimum of $250,000 on the Project during the initial 12 months to maintain the status of the Farm-in JV Agreement, unless the term is otherwise extended by MIPL;
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Argosy will earn an 80% interest in the Project subject to meeting a total Project expenditure of $1 million within 24 months or otherwise
AGY making a 'Decision to Mine' at the Project;
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Argosy will manage all exploration, development and mining activities at the Project; and
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Mining International shall enjoy a 'Free Carry' on all costs associated with the Project up until the date a Decision to Mine is made.
Argosy can elect to withdraw from the Project at any time during the Farm-in period, but remains responsible for the cost and rehabilitation of any ground disturbing activities AGY has undertaken during the Farm-in period, to the satisfaction of the relevant authorities.
Argosy's near-term strategy for the Project is to:
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Delineate, define and upgrade the historic mineral inventory at the Project to be compliant with the 2012 JORC code;
Cape Lambert Resources Limited (ASX: CFE) is a fully funded mineral development company with exposure to iron ore, copper, gold, uranium, manganese, lithium and lead-silver- zinc assets in Australia, Europe, Africa and South America.
Australian Securities Exchange
Code: CFE
Ordinary shares 626,686,586
Unlisted Options
7,675,000 ($0.088 exp 18 Dec 2016)
Board of Directors
Tony Sage Executive Chairman
Tim Turner
Non-executive Director
Jason Brewer
Non-executive Director
Ross Levin
Non-executive Director
Melissa Chapman Company Secretary
Cape Lambert Contact
Investor Relations Phone: +61 8 9380 9555
Email: [email protected]
Australian Enquiries
Professional Public Relations David Tasker
Phone: +61 8 9388 0944
Mobile: +61 433 112 936
Email: [email protected]
www.capelam.com.au
Cape Lambert Resources Limited ABN 71 095 047 920
Corporate - 32 Harrogate Street, West Leederville WA 6007
ASX Announcement 2 November 2015
The Company continues to seek interested parties for potential farm-in ventures on the other exploration licences associated with the Wee MacGregor Project.
Yours faithfully
Cape Lambert Resources Limited
Tony Sage
Executive Chairman
Cape Lambert Resources Limited
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