Prosperity Resources increases ownership of Aceh assets

Synedy — Prosperity Resources (ASX: PSP) will acquire an additional 10% in three companies that hold the exploration licences covering the gold-copper project in the Aceh Province Indonesia.

The agreement with the joint venture partners takes Prosperity’s Indonesian subsidiary’s ownership in these assets to 90%, with the balance remaining with the partners.

Consideration for the acquisition of the additional interest will be the issue of 11 million Prosperity shares, which were last trading at A$0.026 valuing the transaction at $286,000.

The three companies covered under the agreement are PT Bintang Agung Mining, PT Mulia Kencana Makmur and PT Multi Mineral Utama.

Aceh Project

The Aceh Project covers 410 square kilometres of unexplored but highly prospective mineralised belt, along the coast of Southern Aceh.

The area has a high potential for the discovery of large copper-gold porphyry systems

Prosperity has identified 10 known magnetite and skarn intrusive related targets along the 60 kilometres of strike length of its Aceh project.

The Pelumat prospect is just one of these targets, where significant gold-copper-molybdenum was intersected in the first hole earlier this year.

Highlight intercepts at South Pelumat included:

  • 17 metres at 6.18 grams per tonne (g/t) gold from 219 metres, including 3 metres at 13.91g/t gold and 1 metre at 60g/t g;
  • 26 metres at 1.5g/t gold and 0.43% copper from 254 metres, including 2 metres at 15.4g/t gold and 1.4% copper; and
  • 2 metres at 4.64g/t gold from 310 metres.

Results from new rock chip and soil geochemistry in proximity to the South Pelumat magnetic anomaly highlight well developed multi-element gold-copper-molybdenum-arsenic-antimony-bismuth anomalism occurring along a 5 kilometre strike length.

Two metres of continuous composite rock chip samples over one 30 metre section averaged 2.93g/t gold, 1.75% copper and 50 parts per million molybdenum.

Individual high grade composites included 2 metres at 19.4g/t gold and 4.35% copper, 2 metres at 5.09g/t gold and 12% copper, and 2 metres at 4.55g/t gold and 3.64% copper.[]

proactiveinvestors.com.au

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