Carawine Resources Limited (ASX:CWX) has welcomed Fortescue’s decision to elect to earn an additional 24% interest in the tenements by sole-funding $4.5 million (in addition to the $1.6 million incurred to satisfy the Stage 1 Earn-In) of exploration expenditure on the Coolbro JV tenements by the end of 2026, during which Carawine will be free carried.
FMG Resources Pty Ltd, a wholly owned subsidiary of Fortescue Metals Group Ltd, has the right to earn up to a 75% interest in the Lamil Hills, Trotman South, Sunday and Eider tenements located in the Paterson Province of Western Australia, by spending $6.1 million in two stages over a seven-year period to the end of 2026.
On 23 December 2022, Carawine announced that Fortescue had satisfied the conditions required to earn a 51% beneficial interest in the Coolbro JV tenements (Stage 1 Earn-In), with a joint venture formed between the two parties with the initial interest being Fortescue 51% and Carawine 49%, and Fortescue as manager of the joint venture.
During the previous quarter Fortescue completed an initial drilling programme on the Eider tenement with four RC holes drilled for a total of 1,036m. The purpose of the drilling was to collect samples for lithogeochemical testing, including carbonate rocks for the purpose of estimating the relative ages of stratigraphic units within the tenement. A total of 109 drill samples have been sent for analysis, with results pending.
Elsewhere on the tenements, Fortescue continued to develop work programs and draft heritage clearance notifications for work at Trotman South, Sunday and Lamil Hills tenements.
Work planned for Q1 2023 includes a continuation of heritage approvals processes and analysis of results from the Eider drilling.
