- AIS Resources (AIS) has agreed to an earn-in agreement to acquire the Yalgogrin gold project in New South Wales
- The Yalgogrin property covers 58.8 square kilometres and host to two formerly producing gold mines
- The company can acquire 60 per cent of the property if it pays approximately C$261,250 and issues $118,750 in shares to the vendor
- AIS can acquire the remaining 40 per cent of the property if it spends approximately $712,5000 on exploration and issuing a further $570,000 in stock options
- AIS Resources (AIS) is up 62.5 per cent and is trading at 6.5 cents per share
AIS Resources (AIS) has signed a letter of intent to acquire the Yalgogrin gold project in central New South Wales, Australia.
The property is located in the historic West Wyalong gold corridor and has returned results as high as 12.5 grams per tonne gold and 32.3 grams per tonne gold.
The acquisition covers two exploration licenses over 58.8 square kilometres of exploration license and two formerly producing gold mines.
AIS has called the property an advanced-stage exploration project. The site was sold by Denis Walsh, the senior consulting geologist at the Fosterville gold mine.
AIS will pay a deposit of C$9,500 per month for the next three months, during its due diligence period.
If successful, the company can acquire 60 per cent of the property for payment of approximately $261,250 in cash and $118,750 in shares to the vendor.
AIS can acquire the remaining 40 per cent of the property if it spends approximately $712,5000 on exploration and issues a further $570,000 in stock options.
CEO and President of AIS Phillip Thomas said he was very pleased to secure the property.
“The project is geophysics and drill-ready with 3,795 metres over 14 drill holes already completed and a substantial drill hole and magnetic survey database from other explorers from 1953 when BHP explored the area.
“The goal is to fast-track the project towards resource estimation, feasibility and then mine development in the Neighbour, Last Hurrah, Walsh, Adelaide and Holland deposits,” he said.
AIS Resources (AIS) is up 62.5 per cent and is trading at 6.5 cents per share at 2:30pm EDT