ASX ANNOUNCEMENT Argonaut Resources NL (ASX: ARE) advises that it has agreed the sale of its 10% interest in Kanmantoo exploration licence EL 3277 held by Argonaut’s subsidiary Kelaray Pty Ltd with Hillgrove Resources Limited for $2,500,000 satisfied by the issue of 10 million Hillgrove shares in consideration. EL 3277 covers an area of 489km² in the highly prospective Kanmantoo Trough, east of Adelaide in South Australia. EL 3277 includes the Emily Star deposit of 1.243MT of Probable Ore Reserves which contributes approximately 11% of the total Probable Ore Reserve currently defined as part of the Kanmantoo Copper/Gold Mine development. EL 3277 surrounds Hillgrove’s wholly owned tenements which contain the Kanmantoo Copper/Gold Mine development’s remaining mining inventory. First production of copper concentrates from the Kanmantoo Mine is targeted for mid 2009. Mr Graeme Ellis, Argonaut’s Managing Director said today “This transaction allows the consolidation of the Kanmantoo Copper Gold Project in South Australia by Hillgrove and will result in the simplification of all aspects relating to the development of this exciting project.”
extra 2.5Mn in the kitty!
ONWARD BOUND!
ARE Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
