YANDOIT GOLD PROJECT
NEAR TERM PRODUCTION IN PROLIFIC GOLD PRODUCING REGION, HIGH GRADE HISTORICAL GOLD
Yandoit Project
LOCATION AND HISTORY
The project is located 4km from the small township of Yandoit, Victoria, Australia, which is thought to be the Indigenous word meaning travel. The Werona locality is in the Hepburn Shire local government area, 128 kilometres (80 mi) north west of the state capital, Melbourne. At the 2016 census, Yandoit and the surrounding area had a population of 154. The Yandoit area was first settled under land grant by Captain John Stuart Hepburn. Alluvial gold was discovered in 1854 and 5,000 miners came to the area creating a gold rush in 1860.
The project consists of two exploration licences (EL6274 and EL5193) and one mining licence (MIN5503) which is located inside EL5193. The Vendor (B.S.B. Mining Pty Ltd) has entered into a binding contract to acquire EL5193 from Ballarat Investment Project Management Pty Limited. This acquisition is on foot and will be completed as soon as the final payment is made. The principal areas of historical exploration within EL5193 have at least six mines with historical records. There are numerous trenches on both EL’s and evidence of closed mines.
GEOLOGICAL POTENTIAL
At the site there are two Exploration Licences and one Mining Licence that cover a +5 km long north-south gold-mineralized corridor. This gold corridor is defined through historical and current gold showings, exploration pits, gold reef workings, surface gossans, and gold bearing alluvial sands. Current development is focused on MIN5503 situated in the hangingwall to the Muckleford Fault, targeting orogenic gold hosted by quartz veins in Early Ordovician deep marine sediments. Surface mapping and deep ground penetrating radar (DGPR) provide evidence of target structures (laminated quartz reefs).
Gold mineralization typically occurs as course gold in sediment-hosted stacked quartz reefs (“saddle reefs and spurs”) and within rich alluvial surface deposits. There exists gold-bearing quartz saddle reefs form in faults and along dilational features associated with anticlinal and synclinal folds and structural offsets. The typical high-grade gold grades and widths in the Project area are +34 g/t Au over one to two metres.
PLANS
Nubian plans to continue with the current mine development, continue with geophysical surveys and carry out exploration drilling to test mineralization below and along strike from current mine development activities. Additional DGPR surveys will be completed to fill-in lines and expansion with 3D interpretation and targeting. A target maiden mineral resource estimate will be completed in order to move toward high-grade gold production.
2020-11-27
On November 27, 2020, the Company closed the acquisition of the Yandoit Gold Project with the payment ofA$370,000 (C$357,346) in cash and issued 4,695,093 common shares in the capital of the Company at a deemed price of C$0.15 per share to BIPM Shareholders, including 333,333 common shares issued pursuant to a finder’s fee agreement and entered into a promissory note with BIPM Shareholders, which promissory note is redeemable at the expiration of 18 months from the closing date for, at the sole election of Blackwood, one of the following: (i) the payment of AUD$750,000 in cash; or (ii) the issuance to the BIPM Shareholders of a number of common shares in the capital of the Company equal to the quotient obtained by dividing the Canadian dollar equivalent of AUD$750,000, by the volume weighted average price of the Company’s common shares traded on the TSX-V for the 20 trading days immediately preceding the redemption date; or (iii) by transferring to the BIPM Shareholders a number of shares of BIPM equivalent to 35% of the issued capital of BIPM (thereby reducing the Company’s indirect holdings in BIPM to 25% of the issued capital of BIPM).
2020-10-27
In connection with the Yandoit LOI, on October 27, 2020, the Company announced that its wholly-owned subsidiary, Blackwood Prospecting Pty Ltd. (“Blackwood”) entered into a definitive subscription agreement (the “Subscription Agreement”) and has settled on definitive agreements to acquire a 60% interest and the right to acquire the remaining 40% interest in the Yandoit Gold Project.