MC - $8m
SP - 13c
Shares - 63m
Options - 44m
Cash - $4.4m
MRG have acquired projects at the Frasers Range area, of Sirius fame. They picked these up in April, before the SIR horse bolted, so may have slipped under the radar that they hold land in this area. Having said that, their tenements are still around 70-80km from SIR's Nova, but in a direct line south of 5 projects with significant mineral resources. Does mineralisation extend this far??
Cash position not high enough to fund exploration on all projects, where will Frasers range sit in the pecking order?
Kalgoorlie East Project (Gold and Silver)
3 Targets identified.
After completing further soil sampling analysis at its Kalgoorlie East Project during the March 2012 Quarter and the results of the ground electromagnetic survey (EM), the Company completed its first pass RAB and RC drilling program on the key targets at Kalgoorlie East.
● A total of 5,183 metres of RAB drilling was completed across a number of Gold and Silver targets. In addition two RC holes were drilled in areas identified through the ground EM program targeting base metals.
● Of the eight soil anomalies drill tested for Gold, two have returned elevated precious metal values. The first of these is located within the tenement P26/3604 (Figure 1) and comprises a narrow auriferous shear structure with a strike length in excess of 400 metres.
Collie South Project (Coal and Bauxite)
The Collie tenement covers 33km of strike directly south of the main Collie coal bearing basin & ground surrounding the western sub-basin of the lesser Wilga coal bearing basin. (Figure 2) An exhaustive compilation of has been made of all available data for the area of the Collie tenements & environs. This has included data from previous drilling, gravity & airborne magnetic surveys and mapping. This compilation has identified 7 targets considered worthy of follow up.
Xanadu Project (Gold)
Work completed at the Xanadu Project during the Quarter consisted of database compilation and verification. All historical data relevant to the project dating back to the mid-1980’s was acquired in both digital and hard copy format. Once finalised, the Xanadu database will be reviewed and priority targets identified for further exploration.
Braemore Battery (Gold)
A soil program was completed at Braemore Battery to cover the northern portion of the project which overlay the historical Au-As anomalies. The results from the soil analysis confirmed previous soil results and ground work to commence in Q3, 2012 to access the significance of the preliminary work.
Acquisitions
The Board of MRG is pleased to advise its successful application for prospective Gold tenements along the Tropicana geological feature extension, known as Fraser Range. Tropicana Gold has identified over 5 million ounce resource.
o The project is consistent with MRG’s strategy to develop world class Gold assets.
o The tenements sit within MRG’s WA tenement focus.
o The project is in an area currently being evaluated by Thor Mining Ltd, Ausquest Ltd and Anglogold Ashanti Ltd.
o The Company expects that these new tenements will be granted late in 2012.
o Recent Ni/Cu discovery by Sirius Resources Limited in their Fraser Range tenement to the North further enhances the potential of this relatively under explored region