Junior resource firm Entree Gold has signed an agreement with US-based Bronco Creek Exploration to explore and develop porphyry copper targets in the Yerington district of western Nevada, US.
Under the agreement, Entree may acquire an 80% interest in the Roulette property, a land package of 214 claims covering over 1,760ha that has been assembled by Bronco.
The Roulette property adjoins and is directly south of the Blackjack property, currently under option with HoneyBadger Exploration.
Entree president and CEO Greg Crowe said that the agreement with Bronco Creek on the Roulette property represents a strategic addition to Entree’s existing holdings in the area.
“The Yerington area has received limited attention since the 1980’s, when Anaconda last mined the Yerington copper deposit. However, recent work has demonstrated the potential of this camp to host additional sizeable copper-gold resources,” Crowe said.
To gain the 80% stake, Entree must spend $1m on exploration, make cash payments of $140,000 and issue 85,000 shares within three years.
Both the companies are planning an exploration programme in the fourth quarter 2009 to test numerous geological and geochemical targets along with anomalies defined by an airborne AirMt magnetotelluric survey.