Marindi Metals has signed a memorandum of understanding entitling a government-owned Japanese group to earn a 70 per cent stake in the company’s Caranbirini zinc project in the Northern Territory.
Under the agreement, Japan Oil, Gas and Metals National Corporation will have the right to earn up to a 70 per cent interest in the project by sole funding $4 million of exploration in two stages over three years.
In the first two years, JOGMEC can take a 51 per cent stake by spending $2 million, with the remaining 19 per cent available by spending another $2 million in the final year.
Marindi’s Caranbirini project comprises six tenements and is located on the Emu Fault corridor north of the McArthur River zinc project owned by Glencore.
Marindi managing director Joe Treacy said the company was pleased to be working with a high calibre international partner.
“We consider this agreement, which follows several months of discussions with JOGMEC, represents a very significant vote of confidence in both the prospectivity of the Caranbirini project and Marindi’s exploration expertise,” he said
“Significantly, once the definitive agreement has been executed, our partnership with JOGMEC will both ensure funding for a comprehensive exploration program at Caranbirini, as well as enable Marindi to continue its intensive ongoing exploration programs in Western Australia, namely for lithium at Forrestania and for gold and base metals at the Newman and Bellary Dome projects in the Pilbara.”
Shares in Marindi finished ahead 22 per cent at 11 cents each.
