Blaze International (ASX: BLZ) has made a play to acquire 100% of Everest Minerals Pty Ltd and has retained experienced geologist and mining executive Klaus Eckhof to provide ongoing advice.
Mr Eckhof and Corporate & Resource Consultants are existing advisors to Everest Minerals and Blaze plans to keep them on board after the takeover has been completed.
Everest Minerals owns about A$340,000 in mining investments and A$880,000 in cash, as well as an option to acquire 100% of the Kirkalocka gold project in Meekatharra’s Greenstone Belt in Western Australia.
The option is exercisable by the end of April this year for a A$100,000 payment. Blaze is currently working with Mr Eckhof and Corporate & Resource Consultants to collate existing exploration data from the project and create an exploration plan.
Under the acquisition terms, Blaze will issue 48.5 million shares and reimburse Everest A$20,000 in option fees previously paid to secure the gold project.
Mr Eckhof and Corporate & Resource Consultants will each receive 25 million Blaze options that are exercisable at A$0.08 and expire in March next year.
With more than 20 years’ experience exploring, identifying and developing mineral deposits around the world, Mr Eckhof is well-known to the mining sector.
Mr Eckhof has had multiple executive appointments over the years and is more recently known for his executive chairman position on AVZ Minerals’ (ASX: AVZ) board. AVZ Minerals owns the Manono lithium project in the Democratic Republic of Congo where exploration has returned intersections as wide as 250.9m grading 1.48% lithium.
Mr Eckhof is also on the boards of Amani Gold (ASX: ANL) and Carnavale Resources (ASX: CAV).
Thundelarra gold project
This latest acquisition follows Blaze’s announcement in mid-December that it had purchased the Thundelarra gold project in WA’s Murchison District.
Thundelarra covers 47 square kilometres and includes a single exploration licence. Previous exploration at the project identified five main targets for further investigation.
The vendors Corporate & Resource Consultants, Bruce Robert Legendre and TE Johnston and Associates were paid a combined A$15,000 in cash.
Blaze has begun a desktop review of the project to develop its exploration strategy.
These latest acquisitions are part of Blaze’s strategy to build its portfolio of early stage gold exploration tenements for minimal investment.
Blaze’s stock price had rocketed more than 40% in early afternoon trade to A$0.064.