This announcement is yet again further growth for AVB within Brazil. To have the backing of a major in Vale is a solid step into building a mid tier miner.
"The new tenure hosts an extremely prospective 14km long copper trend which clearly justifies a significant increase and widening of the Rio Verde drill programme. Additional rigs have been sourced and are mobilising."
Not only that..if we find something big on our current licenses I'm certain Vale will be watching to form a further JV agreement that will only benefit shareholders. If we find something large enough funding wont be an issue to get a large scale operation up with Vale involved.
Results are still pending for recently drilled holes at rio verde and serra verde so this announcement was unexpected and very pleasant!
AVB Price at posting:
13.5¢ Sentiment: LT Buy Disclosure: Held
