Laramide has three contiguous joint ventures in Northern Territory, Australia
1) the Rio Tinto – Murphy Farm-In and Joint Venture.
2) the Rum Jungle Lagoon Creek Joint Venture
3) the Debbil Debbil Creek Uranium Project Letter Agreement
As part of Laramide’s strategy to control ground contained within a large mineralized system in Australia, the Company entered into three farm-in and joint venture agreements (namely the Murphy Tenement Farm-In and Joint Venture with Rio Tinto Exploration Pty Ltd, the Lagoon Creek Joint Venture with NuPower Resources Ltd., and the Debbil Debbil JV with Hartz Range Mines Pty Ltd, a subsidiary of Gulf Mines Ltd). As a result, Laramide has acquired the right to earn an interest in a number of tenements situated in the Northern Territory, adjacent to Westmoreland. Much of the NT JV areas have only received preliminary exploration in the past.
The three contiguous joint ventures are situated along strike from the Westmoreland Project, for an additional land package of 1,531 km2.
Laramide’s Westmoreland Uranium Project conglomerate occurs in a major Proterozoic belt that runs from Darwin in the northwest to Mt. Isa in the southeast. This belt covers a distance of 1600 kilometres and contains a number of world-class base metal mines including Mt Isa Cu, Ag, Pb, Zn, Century Zn, and Cannington Ag deposit. It is recognized as one of the great mineralized belts of the world. In addition, there are a number of uranium deposits including the world-class Ranger & Jabiluka properties (Energy Resources Australia) and Koongarra (COGEMA Australia Pty) in the Northern Territory.
A summary of the three joint ventures are provided below.
Laramide signed a Binding Farm-In and Joint Venture Term Sheet with Rio Tinto Exploration Pty Limited (RTX) in May 2011, whereby Laramide can joint venture strategically located uranium tenements in the Northern Territory. The Joint Venture comprises EL 9319, EL28721, EL28722, EL28723, EL28724 and EL 9414 tenements (total 1115 km2). The tenements were granted by the Northern Territory government in November and December 2011.
The Project comprises six tenements totalling 1115 km2 that are situated geologically within the highly prospective Murphy Uranium Province and are along strike from Laramide’s flagship Westmoreland Project in northwest Queensland. A jurisdiction that is supportive of both uranium development and mining, the Murphy Uranium Province in the Northern Territory of Australia stands out amongst the world’s attractive underexplored uranium provinces.
TERMS OF AGREEMENT
In 2005, Laramide via its wholly owned subsidiary, Lagoon Creek Resources Pty Ltd, entered into an agreement with Arafura Resources NL – which is now NuPower Resources Limited (ASX: NUP), whereby Laramide can farm-in to NuPower’s granted exploration licence EL23573, located at Lagoon Creek, Northern Territory. Having fulfilled the expenditure requirement of $3 million over four years, Lagoon Creek now holds a 50% interest in the tenement.
In 2011, the joint venture parties agreed to conduct and fund through equal contributions a helicopter geophysical survey over the tenement at a cost of approximately $240,000. The survey has been completed and the data is being analysed.
NuPower was acquired by Rum Jungle Resources in January 2014.
TERMS OF AGREEMENT
The Debbil Debbil Agreement originally related to three tenements held by Hartz Range Mines Pty Ltd (Hartz). During 2009 two tenements were voluntarily surrendered, and the Debbil Debbil agreement is now comprised solely of those parts of EL29898 south of latitude 17 degrees 20 minutes, which are considered by Laramide to be the most prospective of the original three tenements.
EL29898 is located north of the NuPower-Lagoon Creek tenement in the Northern Territory. In 2005, under the terms of the Debbil Debbil agreement, Laramide acquired an option to earn a 90% legal interest in any exploration retention lease or mining lease granted from the area of EL29898 for any minerals (other than diamonds). In order to exercise this option, the Company must complete a bankable feasibility study on a prospect within the area and obtain a mine permit.
During 2014 Laramide entered into an agreement to purchase the tenement outright. The transfer of the tenement is in progress.