Kingfisher (LON:KGF) Mining Ltd (ASX:KFM) has completed the sale of its 100% interest in the Boolaloo Project in WA to Black Cat Syndicate Ltd for 2 million fully paid ordinary shares in Black Cat based on a share price of $0.28 per share and valued at $560,000.
The company will also receive a 0.5% net smelter return royalty on gold and copper produced from all the Boolaloo tenements.
Boolaloo is located 35 kilometres from Black Cat’s Paulsens Gold Operation and adjoins Black Cat’s Ashburton tenure.
The sale of this non-core asset enables Kingfisher to focus on exploration for critical metals at its wholly-owned projects in the highly prospective Gascoyne Mineral Field of Western Australia.
Quarterly highlights
The sale comes after a strong quarter by the company at its Mick Well REE discovery and its Chalby Chalby Lithium Project.
Three significant carbonatite pipe targets have been pinpointed through a ground gravity survey conducted at Mick Well.
The identified carbonatite pipe targets are believed to be the origin of high-grade rare earth elements (REE) mineralisation in the region.
Around the large carbonatite pipe targets at Mick Well, six new high-grade discoveries (MW9 to MW14) have been made, extending the strike length of vein/dyke mineralisation to more than 20 kilometres.
Solid results have been obtained including:
- 26.46% total rare earth oxides (TREO) with 4.56% Nd2O3 + Pr6O11 (MWGS2946);
- 26.00% TREO with 3.62% Nd2O3 + Pr6O11 (MWGS2873);
- 25.66% TREO with 5.47% Nd2O3 + Pr6O11 (MWGS3173);
- 24.09% TREO with 3.87% Nd2O3 + Pr6O11 (MWGS3031); and
- 20.28% TREO with 3.55% Nd2O3 + Pr6O11 (MWGS2948).
A surface geochemistry survey (LK1) has identified several large REE anomalies, with a peak light rare earth oxides (LREO) value of 0.21%.
The surface geochemistry anomalies align with the newly identified LK1 carbonatite pipe targets, outlined by the recently completed ground gravity survey and airborne magnetics.
In addition, broad lithium anomalies have been identified through an initial soil geochemistry survey at Chalby Chalby, covering a length of 1,600 metres and a width of 800 metres.
These lithium anomalies are associated with pegmatites mapped over a strike length exceeding 13,000 metres, with initial assays showing values up to 0.61% Li2O.
Kingfisher finished the December 2023 quarter with cash and receivables of $2.01 million, excluding the Black Cat shareholding.