Carawine Resources (ASX:CWX) has been left scrambling late in Week 28 trade after IGO Limited (ASX:IGO) flagged it would be quitting the Fraser Range joint venture between the two by relinquishing one final exploration licence.
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IGO, which manages the team-up, this week advised that it will be foregoing the E39/1733 licence at the Fraser Range Nickel Project; the JV’s last tenement.
The agreement between Carawine and IGO means Carawine can now formally purchase IGO’s 76% interest in “Big Bullocks” for $1. Should it turn down the buy-up opportunity, the exploration licence will be surrendered.
Carawine has yet to decide which way it wants to go yet, HotCopper understands, with the company first planning to run a review on conducted work.
“[The company] will make its own assessment of the tenement’s prospectivity for nickel-sulphide and other mineralisation,” Carawine wrote today, “[and] will then determine if there are any targets that require further exploration.”
Any verdict either way will be flagged as quickly as possible, Carawine pledged.
Several exploration programs have recently been run at Big Bullocks under Fraser Range, targeting magmatic nickel-sulphide deposits. They included ground geophysical moving-loop electromagnetic and gravity surveys.
Aircore drilling was also run through that recent IGO program, which ended with the departing explorer concluding “further work was not warranted.”
This month has been a busy one for Carawine, with the Oz explorer still awaiting a verdict on its ongoing proceedings in the Federal Court of Australia. Carawine and majority shareholder QGold Pty Ltd have been embroiled in a court scuffle over QGold acquiring the remaining shares it doesn’t own.
A final hearing was held on May 8 but no decision has been handed down.
Through all this, CWX shares have stayed flat on Friday, at 9.7c.
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