Helio Resource Corp (TSXV:HRC) acquired 100% interest in the SMP Gold Project in Tanzania after completion of the earn-in requirements.
As quoted in the press release:
Completion of the earn-in required the issuance of 500,000 shares of Helio to Thorntree Minerals Limited. The Company now owns a 100% interest, subject to a 2% royalty, in a 238km2 area, adjacent to the recently commissioned New Luika gold mine, operated by Shanta Gold, an AIM-listed gold mining company.
Helio Resource Corp CEO, Richard Williams said:
We are very pleased to conclude the earn-in on this strategic licence, which covers the past producing New Saza Mine, and which is immediately south of Shanta’s New Luika gold mine. The New Saza Mine, of which the two main shafts are located within our project area, produced approximately 270,000 ounces of gold at an average grade of 7.5g/t Au between 1939 and 1956, but only exploited ore to a depth of approximately 200m below surface. Drilling at our Porcupine Resource area (east of the New Saza Mine) has confirmed continuous mineralisation from surface to a vertical depth of 300m (the two deepest drill holes intersected 28m grading 5.1g/t Au and 53m grading 2.9g/t Au) and remains open to depth. The start up of the New Luika gold mine, only 5km from our Kenge resource, demonstrates the region’s potential to host commercially mineable gold deposits.