The Henderson lithium gold nickel project covers a 800 square kilometre area along the central section of the Mt Ida/Ularring Greenstone Belt, and is 50 kilometres northwest of Menzies in the eastern Goldfields of Western Australia.
The joint venture between Venus Metals’ subsidiary and IGO’s subsidiary concerns IGO progressively acquire up to a 70 per cent interest in the project by incurring $4 million of exploration expenditure and reimbursing Venus Metals a million dollars.
Other specifications of the deal include IGO’s subsidiary solely funding all joint venture expenditure until a pre-feasibility study for the Henderson project is complete.
If the pre-feasibility study is finished, IGO’s subsidiary would have the right to acquire Venus Metals’ subsidiary’s 30 per cent interest in the project. This would be based on a price in relation to fair market value less an apportioned aggregation of IGO subsidiary’s expenditure incurred concerning the project.
The deal states if IGO’s subsidiary choose to not acquire the 30 per cent interest, the two parties would continue to be associated in the joint venture.
Venus Metals’ managing director Matthew Hogan said he is thrilled to have cemented this deal.
“We are thrilled to have cemented a further arrangement with IGO Limited regarding nickel and lithium exploration at our Henderson project in an emerging combined nickel and lithium province, following the discovery of significant spodumene near the historical Mt Ida gold mine located directly north from the project,” Hogan said.