Resolution Minerals (ASX: RML) has locked-in a 30% stake in the 64North project where it is actively exploring for gold mineralisation similar to that found at the adjacent world-class Pogo mine in Alaska.
The company has successfully completed stage one expenditure requirements and issued 10 million shares and US$50,000 in cash to Millrock as part of the phased earn-in agreement.
After bedding-in the 30% stake, Resolution has become the project’s operator and is no longer required to pay an 8% operator fee to Millrock which totalled US$480,000 in 2019-2020.
Under the deal, Resolution can earn up to 60% of 64North and 80% of a single “best block” within the project.
Located in Alaska’s 100 million ounce Tintina gold province, 64North hosts multiple “compelling” drill targets.
“The opportunity for Resolution shareholders to secure the ground completely surrounding the operating world-class high-grade Pogo gold mine was created (in 2019) by a unique set of circumstances that a junior is rarely able to grab,” Resolution managing director Duncan Chessell said.
During 2020, Resolution completed a large regional program across the entire 64North project and assessed 31 new prospects.
Mr Chessell said this work had generated “extensive” data with multiple prospective large-scale targets to test throughout 2021.
“This has laid solid foundations for exploration in 2021 and the future success of 64North.”
“Our team identified a number of fantastic targets of potential high-grade Pogo repeats at East Pogo and multiple large-scale potential intrusion hosted Fort Knox-style systems at the Sunrise and E1 prospects.”
“This process led us to challenge our original assumptions and reconsider 64North as multiple projects under a single banner.”
He added this enabled Resolution to identify new opportunities at 64North that were previously overlooked.
Exploration focus at 64North in 2021
During 2021, Mr Chessell said the company would focus exploration on the East Pogo Block targets it has identified as well as the outcropping Fort Knox-style gold system at Sunrise.
“As operator of the project we look to continue to deliver more shots on goal in 2021, benefitting from a strong Australian dollar and extensive ground work completed to be drill ready on multiple targets using cost-effective rotary air blast drilling.”
A RAB drilling program is scheduled to begin in March at Sunrise.
To earn a 42% stake in 64North, Resolution will spend $3.8 million on exploration over the next 12 months.
As well as advancing 64North, Resolution is looking to add value to the company with a US OTCQB listing.
The company is looking to list on the OTCQB in the first half of 2021. It anticipates the listing will enhance trading accessibility and liquidity through direct exposure to North American investors.
Resolution is also evaluating a number of pathways to unlock value from its Wollogorang and Benmara projects in the Northern Territory and its other Alaskan asset Snettisham.
“The company is also very fortunate to hold excellent copper and battery metal assets in the Northern Territory,” Mr Chessell noted.
“Resolution is aiming to take advantage of the renewed interest in these metals and progress the Wollogorang and Benmara projects in the coming dry season.”
“Resolution’s mission is to hunt for big scale gold and battery metal targets in big country – in 2021 I believe the company is in the best position ever to deliver discovery success,” Mr Chessell added.