Covering around 750km² in the Murchison region, the early-stage gold exploration project is expected to have access to the Archaean greenstone gold deposits.
It also covers parts of the Big Bell and Cuddingwarra Shear Zones that feature gold deposits at Big Bell, Cuddingwarra and Mount Magnet, which have not been fully explored.
Evolution Mining Discovery and Business Development vice-president Glen Masterman said: “Murchison is a compelling exploration project in a well-endowed gold district. It presents a rare opportunity in which the most prospective areas remain poorly tested under shallow cover.”
Under the terms of the agreement, Evolution can earn an 80% interest in the Murchison project by investing $6m on exploration over a four-year period.
The company is also required to make an initial cash payment of $150,000 to Enterprise Metals upon the signing of the agreement.
Furthermore, Evolution needs to pay $150,000 to Enterprise Metals if the agreement remains in place after two years.
During the earn-in period, Evolution will operate the Murchison exploration project.
Completion of the transaction is subject to standard regulatory conditions.
The project covers around 5,230km² and is situated roughly 140km south of Townsville and 50km southwest of Evolution’s Mount Carlton operation.
Evolution operates Cowal mine in New South Wales, Cracow, Mt Carlton and Mt Rawdon mines in Queensland, and Mungari mine in Western Australia.