Deals this week: Catalyst Metals, CanAlaska Uranium, Orsu Metals and more

3 April 2014 (Last Updated April 3rd, 2014 18:30)

Catalyst Metals has signed a term sheet with Navarre Minerals to earn a 51% equity stake in the Tandarra project, located north of Bendigo in Victoria, Australia.

Catalyst Metals has signed a term sheet with Navarre Minerals to earn a 51% equity stake in the Tandarra project, located north of Bendigo in Victoria, Australia.

The transaction will consolidate two of the greenfields gold projects in Victoria and the entire 60km strike length of the Bendigo North Goldfield will be under single management.

As part of the transaction, Navarre will transfer to Catalyst its interests in Raydarra and Sebastian gold projects, which are currently owned by Castlemaine Goldfields.

Both gold projects are subject to farm-in and joint venture arrangements between Navarre and Castlemaine.

Navarre, which has acquired a 51% interest in the Sebastian project, is also earning a 51% interest in the Raydarra project.

Catalyst is required to spend $3m on exploration during a four year period starting on the satisfaction date, in order to earn its 51% equity interest in the Tandarra joint venture.

Catalyst will control all exploration tenements along a 60km section of the Whitelaw Fault north of the Bendigo Goldfield that produced 22 million ounces of gold.

CanAlaska Uranium has agreed to sell its interest in the Kasmere South project in north-western Manitoba, to private firm East Resource.

Under the agreement, CanAlaska will assist East Resource with the exploration of the property as well as retain a net smelter royalty on any future production.

CanAlaska is currently concentrating on additional property options and joint ventures under several agreements, as well as planning for the continued drill testing of the Cree East project targets, as early as this summer.

CanAlaska said that geophysical crews currently working for the Cree East joint venture are on the property collecting detailed information for the next drill programme.

Canada-based CanAlaska has undertaken uranium exploration on multiple uranium projects in Athabasca Basin, the Saudi Arabia of Uranium, since 2005.

The company has major international partners for its West McArthur and Cree East properties, and is concentrating its activities on these advanced projects.

London-based Orsu Metals has entered into a new conditional exclusivity agreement for the potential sale of its Akdjol-Tokhtazan gold exploration licences in Kyrgyzstan.

The agreement was signed with Kyrgyz-registered firm David-Invest and related Hong Kong-registered company, David Way.

The sale will be through either Orsu Metals subsidiary, Tournon Finance, or Tournon's subsidiary, Oriel In Kyrgyzstan, the indirect and direct holders of the licences, respectively.

Orsu Metals' interest in the licences was classified as held for sale in 2011 following the board's decision to actively market the asset and focus on developing its Karchiga project, the company's principal copper asset in north-eastern Kazakhstan.

David-Invest will fund the exploration programme for the licences for the exclusivity period, which are due to expire on 31 December 2015, on a non-refundable basis.

Orsu said it will apply any proceeds from a sale to working capital and the identification of other early stage exploration opportunities consistent with its strategy.

New World Resources' OKD subsidiary has signed an extension of its memorandum of understanding on the closure of its Paskov Mine in the Czech Republic.

The validity of the memorandum was extended by one month to 30 April.

The memorandum establishes the framework for the closure of the Paskov site and sets out how the parties involved will work together on the process.

Both parties are anticipated to explore the option of OKD extending the operation of the mine until 31 December 2016, at its own risk. Ownership of the mine will be then transferred to the Czech State.

New World Resources produces quality coking and thermal coal for the steel and energy sectors in Central Europe, through OKD.

The company currently has various development projects in Poland and the Czech Republic, which form part of its regional growth strategy.

Valterra Resource has signed a definitive option agreement with Riverside Resources for exploration and development of the Swift Katie project in south-east British Columbia, Canada.

The deal will be undertaken as part of Riverside's exploration alliance with a subsidiary of Antofagasta.

Swift Katie is an 80km² advanced copper-gold-silver porphyry property located 7km south-west of the town of Salmo, BC, in the Nelson Mining District.

The property has about 80 drill holes, completed between 1987 and 2010, of which the majority were drilled to define the Katie copper-gold porphyry deposit.

To date, the Katie deposit has been tested over a 2.5km by 1.5km area but remains open in various directions.

An initial $600,000 has been allocated for a summer exploration programme, which will include mapping, prospecting, soil sampling and follow-up diamond drill testing of highly prospective areas within a 3km by 11km corridor of favourable geology, geochemistry and geophysics.

Valterra said the programme will evaluate, delineate and test copper-gold porphyry targets outside historically defined zones.

As per the terms of the option, Riverside's exploration alliance can acquire an 80% interest in the property by incurring cumulative exploration expenditures of $5m over a four year period.

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