an: expands footprint int twin bonanza

ABM expands footprint in Twin Bonanza Area with acquisition of tenements from Toro Energy Limited
ABM Resources NL (“ABM” or “the Company”) is pleased to announce that it has reached terms to acquire 567 square kilometres of exploration licence applications in the Central Desert Region of the Northern Territory from Toro Energy Limited (“Toro”).
Exploration Licence Applications
• Three exploration licence applications, two of which adjoin the Twin Bonanza Gold Camp (inc the Old Pirate High-Grade Gold Project and the Buccaneer Porphyry Gold Deposit), acquired.
• High-prospectivity for gold with:
o Multiple gold mineral occurrences as reported in the Northern Territory Geological
Survey databases.
o Geologically comprises Proterozoic sediments and intrusive rocks (comparable host rocks to other gold deposits in the region).
o Projected continuations of known mineralised trends. Agreement with Toro
• ABM acquires 100% of 3 exploration licence applications.
• ABM to pay $100,000 cash consideration.
• Toro retains a mineral royalty over any future discoveries in the area of the three exploration licence applications:
o $5 per ounce of gold produced for up to 250,000 ounces and $2.50 per ounce of gold produced between 250,001 and 500,000 ounces of gold (capped at 500,000 ounces or $1.875M).
o For non-gold deposits discovered and subsequently mined, a 2% royalty of sales revenue capped at $2M will apply.
Darren Holden, Managing Director of ABM, said, “These tenements geologically fall well within our regional targeting priorities and have projected continuations of known gold anomalies, known gold mineral occurrences and contain the right rocks to host further discoveries. ABM strongly believes in the potential of the Central Desert region in particular the area surrounding Twin Bonanza and considers this one of the final frontiers for gold discovery in the world.”