Antler Gold Inc. will sign the definitive agreement to sell the Erongo Central Gold Project to Fortress Assets Management on September 16, 2024.
The 19.514-hectare Erongo Gold Project comprises four active EPLs, 6162, 7261, 6408, and 8010, and one application for EPL 9534.
The companies signed the letter of intent in May 2024.
Fortress Asset Management LLC agreed to acquire 100% of the project for US$5.5 million over three years.
In addition, Fortress Asset Management will also incur the US$6 million of exploration expenditure.
Antler Gold will be granted a 2% net smelter return across the entire project.
Antler Gold secured shareholder approval of the transaction contemplated at its annual and special meeting held on July 15, 2024, and is currently working closely with Fortress to finalize the definitive option agreement.
The definitive agreement was supposed to have been signed 45 days after the letter of intent.
This did not happen, how the parties mutually agreed to extend the signing date to September 16, 2024.
The project is in the South-Central Zone of the Damara Belt and strategically located in a mining district contiguous to the 3.2 Moz Twin Hills Gold Project (Osino Resources-Yintai Gold Corp.) and QKR’s Navachab Gold Mine.
Antler Gold’s initial exploration in 2021 confirmed the project’s potential, yielding assay results of high-grade gold, including 80 g/t Au, 6 g/t Au, 5.4 g/t Au, and 4.45 g/t Au.
Antler has also conducted a detailed geological mapping on areas with outcrop and known mineralisation and a high-definition heliborne geophysical survey of 4,956-line kilometres over the entire project area to obtain high-resolution geophysical data (magnetic and radiometric) for target generation.
Antler has also conducted 91 km of Induced Polarisation geophysical surveys; 2,861 m Reverse Circulation drilling, which intersected favourable geological units, alteration assemblages, and precious metals mineralisation (1.2% Cu over 40 m (29 – 69 m) and 11.2 g/t Ag over 42 m (27 – 69 m) in hole C1L14-4-3B, and 1.5 g/t Au over 11 m (11 – 22 m) in hole C1L14-4-3); and 6,557 soil and calcrete samples.
