Meteoric Resources freed up to focus on gold projects after completion of nickel-copper sale to Rafaella

Meteoric Resources Rafaella ASX MEI RFR Palm Springs Juruena nickel copper gold
Meteoric Resources will now focus on Palm Springs and Juruena while retaining exposure to Rafaella’s portfolio as a substantial shareholder.

While retaining its exposure to nickel and copper via a substantial holding in Rafaella Resources (ASX: RFR), Meteoric (ASX: MEI) is now freed up to focus entirely on its gold projects.

In August, Meteoric revealed it was selling its Midrim and LaForce nickel and copper projects in Canada in return for 13.05 million Rafaella shares.

The sale was completed on Monday and was effectively worth about $1.17 million and Meteoric one of Rafaella’s major shareholders with a 12.46% stake.

Commenting on the deal, Meteoric managing director Dr Andrew Tunks said it gives the company and its shareholders exposure to Rafaella’s exploration successes at the Canadian projects as well as its wider portfolio.

He said it was a “fantastic result” for Meteoric, which is focused on its “highly prospective” Western Australian and Brazilian gold projects.

Meteoric’s gold projects

With the sale of its Canadian assets now complete, Meteoric is fast-tracking exploration at Palm Springs in WA and Juruena in Brazil.

The company has completed its first field season at Palm Springs which it acquired in June.

Initial exploration has focused on the historic Butchers Creek mine with the recent program comprising 23 holes of reverse circulation drilling for 5,000m and 1,500m of diamond drilling.

Assays from the program are expected to come in over this month and next with the first batch received a week ago.

Notable initial results were 56m at 2.7 grams per tonne gold, including 18m at 4.8g/t; 45m at 2.3g/t, including 5m at 10.8g/t and 10m at 1.9g/t; 53m at 2.1g/t; 8m at 10.4g/t, including 2m at 34.4g/t; and 10m at 2.5g/t, including 15m at 2.1g/t.

Meteoric is already preparing for the 2021 field season at Palm Springs.

Meanwhile, over in Brazil, Meteoric has continued its exploration successes at Juruena.

Last month, the company reported it had intercepted several zones exceeding 90g/t gold.

Highlight results were 11m at 2.34g/t gold and 0.28% copper from 42m, including 1.1m at 93g/t gold from 235.9m; 14.3m at 10.2g/t gold from 293m, including 0.6m at 109g/t gold from 297.4m.

Exploration is continuing at Juruena with the company committing to an updated resource which will be incorporated into the scoping study.

As well as gold, Meteoric is exploring for copper at Juruena.

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