Sipa Resources Ltd (ASX:SRI) has regained 100% ownership and control of the Paterson North Copper-Gold Project in Western Australia’s Paterson region, where it continues to test the many targets across the project area.
Between August 2020 and February 2024, the project was explored under a farm-in and joint venture agreement with Rio Tinto (ASX:RIO) Exploration (RTX), a Rio Tinto subsidiary.
Over that period, RTX spent $6.2 million on geophysical surveys, targeting studies, heritage surveys and two rounds of drilling and identified several additional targets. RTX recognised that multiple untested areas remain within the project, which continues to offer significant potential for a world-class discovery.
Now, having assessed its global exploration priorities, RTX will instead focus its exploration efforts on other projects within its portfolio and is withdrawing from the Paterson North farm-in from March 15, 2024.
Multiple targets to be tested
Sipa notes that multiple targets remain to be tested at the project and the company plans to refine and prioritise these to assess the next steps, as part of its ongoing portfolio review and business development strategy.
Sipa managing director Andrew Muir said: “We would like to thank RTX for its support and contribution to the Paterson North Project and for the collegiate and collaborative manner in which it has approached the farm-in.
“With RTX’s assistance, we have been able to identify several additional targets, which require follow-up work. Sipa continues to enhance and refine its portfolio via strategic acquisitions, divestments and joint venture opportunities.”
Sipa’s Paterson North project showing the location of targets tested in 2023 drilling.
The Paterson North Copper-Gold Project is in the same strongly endowed and highly prospective mineral belt which hosts the world-class Telfer gold and copper deposits, the Nifty copper mine and Rio Tinto’s Winu copper-gold discovery.
It is in close proximity to Winu, which has a maiden inferred mineral resource of more than 500 million tonnes at 0.45% copper equivalent, and Rio’s recent discovery of a zone of gold-dominant mineralisation nearby.
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