Australian JV - Grant of First Licenses

RNS Number : 6885N

Red Rock Resources plc

02 February 2021

 

 

Red Rock Resources PLC

("Red Rock" or the "Company")

Australian JV - Grant of First Licenses

2 February 2021

Red Rock Resources Plc, the natural resource development company with interests in gold, manganese and base metals, announces an update in respect of Red Rock Australasia Pty Ltd ("RRAL") a joint venture company with gold exploration interests near the historic mining centre of Ballarat in the Gold Fields of Victoria. Red Rock owns 50.1% of RRAL, with 49.9% being owned by Power Metal Resources plc (AIM:POW).  

Key points

· The 133 sq km "Blue Whale" license south and east of Ballarat (EL007271) has been granted

· The 74 sq km "Blue Chip" license west and south of Ballarat (EL007281) has been granted

· The 8 sq km "Blue Ribbon" license north of Ballarat (EL007285) has been granted

· All licenses are granted for a period of five years

· Red Rock is one of four applicants for the 148 sq km tenement EL007540 compulsorily surrendered by the owners of the Ballarat mine

Red Rock Chairman Andrew Bell commented :

"The grant to RRAL of these priority licenses is another milestone in our progress, and the one that opens RRAL's pathway to the future. We thank Earth Resources Regulation of Victoria for their diligence and responsiveness, in the difficult circumstances created by long lockdowns and a flood of new license applications last year. 

We now have 215 sq km of granted tenements, forming an outer ring around Ballarat and along the Ballarat trend. The ground that the Ballarat Mine has not been permitted to renew and that forms a close-fitting inner ring around their mine, became available and we immediately applied for it, as did three other parties. This ground is surrounded on all sides by our granted tenements and if granted would link them.

As a Ballarat-based company with its focus on Ballarat, we consider that this ground would be a logical fit with RRAL's other holdings in the area and would enable it to further its mission of becoming a Ballarat exploration specialist.

We will now proceed with our plans for a listing of all or part of the RRAL assets.

Exploration will begin immediately and we anticipate further updates to the market in respect of RRAL in the near term."

FURTHER INFORMATION

Joint Venture Company - RRAL

RRAL is a joint venture company 50.1% owned by Red Rock and 49.9% owned by Power Metal Resources plc ("POW"). Paul Johnson, CEO of POW and Andrew Bell are directors of RRAL.

Granted Licenses

RRAL has received notice that its applications for the three licenses where applications had been expedited have been successful, and that it has now been granted the three licenses nearest to the regional centre of Ballarat, namely EL007271 ("Blue Whale"), EL007281 ("Blue Chip"), and EL007285 ("Blue Ribbon").

These licenses cover 215 sq km west, south, east and west of Ballarat and cover high priority areas where RRAL has early drill targets that it is developing.

A programme for immediate exploration will be announced shortly.

Fig 1: Granted licenses near Ballarat and the license application they surround

http://www.rns-pdf.londonstockexchange.com/rns/6885N_1-2021-2-2.pdf

Applications

RRAL has lodged applications for sixteen new gold exploration license areas covering approximately 2,336 km² in the Victoria Goldfields of Australia as follows:

License Application Number	Project Name	Area (km2)
EL007271 (granted)	Blue Whale	133
EL007281 (granted)	Blue Chip	74
EL007282 (granted)	Blue Sky	489
EL007285	Blue Ribbon	8
EL007294	Red Queen	130
EL007301	Mt Bute	85
EL007327	Blue Stocking	60
EL007328	Blue Yonder	168
EL007329	Evergreen	486
EL007330	Blue Angel	202
EL007385	Sardinia	4
EL007460	Kilmore West	349
State land within EL007271 [EL007505 EL007506 EL007507]		[9 9 8]
EL007540* (3 competing applications)	Outer Ballarat	148
Total		c 2,336

* Balmaine Gold Pty Ltd, Mercator Gold Australia Pty Ltd, and Loddon Gold Pty Ltd have put in competing applications the same day as RRAL for the ground covered by EL007540. The application considered to have greatest merit will eventually be given priority.

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.

For further information, please contact:

Andrew Bell 0207 747 9990  Chairman Red Rock Resources Plc

Roland Cornish/ Rosalind Hill Abrahams 0207 628 3396  NOMAD Beaumont Cornish Limited

Mark Treharne 0203 700 2500   Broker Pello Capital Limited

 

END

 

 

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