Gateway Mining has agreed with Strickland Metals to acquire latter’s interest in the Yandal gold project in Western Australia.
The strategic acquisition, which hinges on approval from shareholders of both companies, includes an inferred resource of 8.17 million tonnes (mt) at 1.52g/t gold, totalling 400,400 ounces (oz) of gold.
Gateway is to issue A$45m ($29.3m) worth of 1.5 billion convertible preference shares to Strickland, with conditions including the transfer of joint venture obligations and obtaining necessary approvals.
The completion of the transaction will occur in the latter half of August 2025.
The Yandal gold project spans 1,780km² along the eastern flank of the Yandal Greenstone Belt.
Gateway will initially focus on the application for a mining licence for the Horse Well Gold Camp at the Yandal gold project on which Strickland has already began work, prioritising environmental and Native Title surveys to unlock the camp's value.
Strickland Metals commissioned consulting group Trepanier to estimate the mineral resource at the Dusk 'til Dawn prospect within the Yandal project, revealing an inferred resource of 108,900oz of gold.
The prospect is part of a larger orogenic gold system, with significant exploration potential west of the current resource.
Gateway's exploration strategy includes detailed mapping and sampling, as well as angled aircore drilling to expand the existing mineral inventory.
Strickland's work at the Dusk 'til Dawn Gold Camp has highlighted the potential for large intrusion-related gold deposits. This is supported by geochemical zonation and gravity inversion modelling, indicating untested intrusive units at the core of the hydrothermal system.
Gateway plans to begin drilling at Yandal in late 2025 or early 2026.
As of the end of the March 2025 quarter, Gateway is in a robust financial position with A$13.6m in cash and liquid securities listed on the ASX - well-funded to carry out its exploration activities planned for 2025 and 2026.
The acquisitionalso includes the Iroquois project, north of the Yandal project, where Strickland holds an 80% interest and manages the joint venture. The region is considered highly prospective for zinc-lead discoveries.
