White Rock receives further support from Sandfire Resources
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Just days after releasing promising news regarding it’s Hunter high-grade zinc VMS prospect in Alaska, White Rock Minerals (ASX:WRM) has secured an additional $1 million in funding from its strategic partner Sandfire Resources (ASX:SFR) to support exploration activities at the broader Red Mountain Project.
On Monday, White Rock provided an encouraging update on its exploration activities currently underway at its Red Mountain Project.
The decision by the $1.2 billion capped Sandfire Resources to provide further financial support could be viewed as an endorsement of White Rock’s potential, particularly given its recent exploration success.
This comes on the back of a mutually beneficial decision by the two parties which was forged in July.
A significant part of this week’s update related to drill testing of the massive sulphide horizon discovered by recent ground reconnaissance at the project’s Hunter prospect.
The first ever drill testing has confirmed the zinc-rich massive sulphide discovery with massive sulphide intersected in the first two drill holes. Subsequent prospecting mapped massive sulphide over 500 metres of strike.
Rock chip sampling from the discovery outcrop, as well as trenching along strike to define the position of the massive sulphide mineralisation, returned assay results up to 18.6% zinc, 5.4% lead, 2.3% copper, 147g/t silver and 0.7g/t gold.
Sandfire provides $1 million in exploration funding
White Rock has entered into an unsecured convertible loan agreement with Sandfire, providing for two loans of $500,000 each.
The funds will be used for the exploration and development of the Red Mountain Project.
Underlining the importance of the additional funding in terms of progressing and accelerating its exploration program, WRM Managing Director Matt Gill said, “This funding from Sandfire is further endorsement of the quality and prospectivity of our high-grade zinc and precious metals VMS project in Alaska.
“With this funding, we have now been able to extend our drilling campaign into September and ramp-up our reconnaissance mapping and geochemical sampling works three-fold, with this work already delivering one massive sulphide discovery - Hunter.
“This funding will help White Rock continue implementing key exploration and development activities at Red Mountain and sets us up well for next year’s campaign.”
However it is an early stage of this company’s development and if considering this stock for your portfolio you should take all public information into account and seek professional financial advice.
tagsASX STOCKS ZINC EXPLORATION
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