AngloGold Ashanti : enters A$25m farm-in with Saracen at Carosue Dam North

Acrobat Version

Exploration partnership covers Butcher Well and Lake Carey tenements

Key Points

• AngloGold to spend up to A$25m over a six year period exploring Saracen's Butcher Well and Lake Carey tenements, part of Carosue Dam North (excludes Red October and Deep South mines)
• AngloGold can earn up to 70% of the JV by spending:
  • A$15m within 48 months from commencement date to earn 51% (of which at least A$6m must be applied in respect to the Lake Carey Tenements); and
  • A further A$10m within 24 months thereafter to earn 70%
• AngloGold will be the Manager during the Farm-in Period
• AngloGold may withdraw from the project and the Agreement at any time during the farm‐in period, and before satisfying the first earning requirement
• Field work (including drilling) will commence following satisfaction of conditions precedent.

Saracen Mineral Holdings (ASX: SAR) is pleased to announce that AngloGold Ashanti Australia (AngloGold) will spend up to A$25 million exploring Saracen's Carosue Dam North tenements under a Farm-in and Joint Venture Agreement signed by the two companies.

The Joint Venture encompasses two tenement packages, Butcher Well and Lake Carey, covering approximately 339.56sqkm at the north of Saracen's Carosue Dam project.

Saracen Managing Director Raleigh Finlayson said he was delighted to form a joint venture with such a highly regarded partner.

'The Agreement with a company of AngloGold's standing and exploration track record reflects the quality of the Carosue Dam North tenements and supports Saracen's strong belief in the potential of this world class district,' Mr Finlayson said.

'We look forward to the start of the Carosue Dam North exploration program, which will add to the aggressive drilling activity already being undertaken by Saracen as part of its current A$42 million exploration budget.'

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ENDS