Southern Gold continues exploration in South Korea, begins hunt for strategic copper-gold assets in Australia

Southern Gold (ASX: SAU) has reiterated its focus remains on its South Korean gold-silver portfolio, but it is also leveraging its expertise to seek new strategic copper and gold investments within Australia.

The company spent the November to January winter months in South Korea compiling data to identify new epithermal gold-silver regional targets in the country.

A major fieldwork campaign is underway with project generation programs planned for February to June in South Korea’s Haenam, Kaldam-Jinan, South Gyeongsang and Yeongdong basins.

Heading up the South Korean effort is in-country exploration manager Robert Smillie who is working with New Zealand based geological consultant Craig Panther.

Southern Gold noted Mr Panther along with the company’s non-executive director Doug Kirwin were key players in the discovery of operational deposits Gasado and Moisan.

A South Korean company to run activities will comprise 15 people, which Southern Gold says makes it the largest exploration team in the country.

All-up Southern Gold has 65 tenement applications in progress for about 181.6 square kilometres of ground in South Korea.

Strategic Australian investments

While advancing exploration in South Korea, Southern Gold is also evaluating new strategic gold and copper investments in Australia.

The company is exploring options relating to its 200 million shares in LSE-listed Bluebird Merchant Ventures (BMV), which were worth $7.6 million on 7 February.

“With our cash reserves of $6.5 million and the ability to reduce our holding in BMV as appropriate, we are well-positioned to not only increase our exploration focus on South Korea, but also search for and evaluate strategic investments/project interests in gold and copper exploration/development assets in Australia,” Southern Gold chairman Greg Boulton explained.

“Our directors have significant skills in exploration, investment evaluation and deal structuring, and these skills will be used to develop a short-list of gold, silver and copper exploration projects for the board to consider,” he added.

To drive its strategic direction, Southern Gold is also on the hunt for a new chief executive officer, with an appointment expected to be made in the June quarter.