IGO to record impairment against nickel assets in strategy shift
IGO has been undertaking a strategic review in an attempt to revaluate its resources.
Fifteen million shares are being offered at 20 cents per share and the company may accept subscriptions for a further 5 million shares to raise an additional $1 million. Also, a loyalty option, priced at 1 cent will be offered to shareholders after three months on a 1 for 2 basis. The exercise price is 20 cents with an expiry date of 30 April 2014.
Highlights:
Aurelia holds a 90-100%% share in 255km2 of highly prospective exploration and prospecting licences in Western Australia, with the majority of its holdings located in the Eastern Goldfields region near Kalgoorlie. The projects are prospective for gold, silver, copper, and base metals, and the company expects to commence an extensive drilling campaign very shortly after listing on the ASX.
Currently, Aurelia’s flagship project is the 158km2 Breakaway Dam copper VMS (volcanogenic massive sulphide) project located 110km north of Kalgoorlie. Initial exploration has defined a large, sulphide-rich mineralized system with significant copper, silver and multi element anomalies over at least a 2 kilometre strike length, which may represent a new VMS province with the potential to host economic copper deposits. Previous drilling intersected up to 4 metres at 1.64% Cu (copper) and15.3g/t Ag (silver) including 1 metre at 3.86% Cu.
Aurelia’s 70km2 Bonnie Vale North project is highly prospective for gold. Previous drilling intercepted 5 metres at 5.40g/t Au from 6m, 2m at 15.7g/t Au from 18m, and 16m at 2.64g/t Au from 24m. In early 2008, further drilling confirmed intercepts of 4 metres at 7.28g/t Au from 40m, 4m at 5.90g/t Au from 40m and 1m at 9.42g/t Au from 21m. Aurelia plans to test extensions to this shallow gold mineralisation with a view to defining a JORC resource. Bonnie Vale also represents a priority target.
Aurelia’s Chairman Mr. Murray McDonald commented: “We are very encouraged by the prospects for Aurelia and believe it represents a great exploration opportunity in a proven mining region in Western Australia. Across all projects, there is significant upside for Aurelia encompassing multiple commodities.
“Breakaway Dam and Bonnie Vale North are priority projects for Aurelia, and as such, we will commence drilling of these exciting advanced targets very shortly after listing.
“We have a well defined exploration plan for the next 12 months and funds raised will be invested into exploration activities.”
The offer is likely to close on 27 May. The prospectus is available at www.aureliaresources.com
Image by Aurelia Resources Limited
