Gold and nickel explorer Aldoro Resources (ASX: ARN) has announced it will undertake a strategic review of its portfolio of gold assets, with different commercial options being considered including potential divestment.
In a statement to the market today, the company revealed the decision came about after unrelated parties recently approached Aldoro expressing their interest in its gold assets.
Tenements in review will include the Penny South gold project, Unaly Hill South and Ryans Find, which are all located in Western Australia.
Aldoro made it clear it would remain focused on its priority exploration program at its wholly-owned Narndee nickel-platinum group elements (PGE) project in WA’s Mid West.
“The review will have no effect on the current and forthcoming work programs for the Narndee Nickel-PGE project, which remains Aldoro’s priority,” it stated.
No decision to divest yet
The strategic review will consider “different commercial options” for the gold assets, which could entail the potential sale of the portfolio or “other capital initiatives”.
Aldoro said its board will consider the expressions of interest it has received as part of the strategic review but has not made a decision at this stage with respect to whether it is in the best interests of shareholders to divest assets, nor the terms on which it would be prepared to divest assets.
“Therefore, [the company] makes no assurances that a transaction will eventuate,” it stated.
“The company cautions shareholders not to make any decisions about Aldoro shares on the assumption that a transaction will proceed.”
Focus remains on upcoming drilling program at Narndee
Aldoro said its top priority remains its flagship project at the Narndee Igneous Complex, located about 90km south-southwest of Mount Magnet and considered highly prospective for nickel-copper-PGE mineralisation.
Last month, the company announced its plans to commence a high-power fixed loop electromagnetic (FLEM) survey to refine targets for its upcoming drilling program.
The survey is anticipated to begin this month and overall interpretation of data and drill target selections is expected to conclude in four to six weeks.
Geologists added to technical management team
Last week, Aldoro announced it had appointed two highly experienced geologists, Richard Hall and Luke Marshall, to focus on the Narndee project.
Mr Hall has more than 34 years of experience in mineral exploration and mining and has been involved in the planning and execution of successful exploration and sampling campaigns.
He has held senior management positions with Goldfields, De Beers, Namakwa Diamonds and Newfield Resources (ASX: NWF).
Mr Marshall brings 23 years of post-graduate industry experience across a range of commodities in senior technical roles within Australia, China and Africa, predominantly on nickel sulphides and polymetallic base metal systems.
He has worked on Legend Mining (ASX: LEG) and Creasy Group nickel projects in the Fraser Range, the Carr Boyd nickel project, Widgiemooltha Dome nickel project, and the Radio Hill nickel mine.