TMZ gets control of Texas Silver base metal district with Silver Spur Mine acquisition

Summary

  • Thomson Resource Limited has entered into a binding term sheet to acquire Silver Spur Mining Lease ML 5932 from Cubane Partners Pty Ltd.
  • The acquisition would give full control of the Queensland-located Texas Silver base metal district to the company.
  • The total consideration for the acquisition is AU$950K, including AU$350K in cash payment and 5 million ordinary shares of TMZ at AU$0.012/share.

On Wednesday, minerals exploration company Thomson Resource Limited (ASX:TMZ) announced the signing of a binding term sheet to acquire Silver Spur Mining Lease ML 5932 from Cubane Partners Pty Ltd. The acquisition would be worth AU$950,000, comprising AU$350,000 in cash payment and 5 million ordinary shares of TMZ at AU$0.012 per share.

The mine is located within the Texas Silver project, which TMZ acquired on 4 March 2021 along with Mt Gunyan silver, base metal resources, Twin hills, and in-ground mining infrastructure.

Source: © Martinstroj | Megapixl.com

A few ASX-listed companies working in the same space as TMZ include Estrella Resources Limited (ASX:ESR), Inca Minerals Limited (ASX:ICG), and Mastermyne Group Limited (ASX:MYE)

Silver Spur Mine

Silver Spur produced 2.19 Moz Silver, 690t Zinc, 1050t Pb, 990t Cu and by-product Au. Previously, the Silver Spur was owned by Macmin Silver Ltd and was able to extract multi-million-ounce silver. However, Macmin drilling did not cover mineral resources drilling and provided an opportunity for TMZ to explore base metal and silver at the starting surface of Silver Spur.

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The acquisition agreements in March and May are essential components of Fold Belt Hub and Spoke strategy as the acquisition of Silver Spur extends 100% control to TMZ on the gold, silver, zinc, and other base material which sits on the Texas Silver base.

Source: © Neillockhart | Megapixl.com

On the acquisition, David Williams, Executive Chairman of TMZ, remarked :

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Fold Belt hub and spoke strategy

Under the Fold Belt Hub and Spoke Strategy, Thomson reported that it includes 100% acquisition of Webbs, Conard projects and Texas; and Mt Carrington JV was added later. Presently, the company is reviewing these projects listed by the previous owner of the project to define new resources.

Future Plan of Thomson Resources

With the aim of starting new or refining the existing JORC code 2012, the company will collate with historic explorations as the company is considering the possibility that further exploration might change the present reports materially, in terms of accuracy, reliability and add value to JORC 2012. However, the current estimates remain the same and will be updated through ASX announcements.  

Moreover, the company has undertaken metallurgical studies to determine the processing pathways for maximising the recovery of base metals, silver and gold from the deposits covered under the Fold Belt Hub and Spoke Strategy. Presently the study is at the preliminary stage, and the company stated that stakeholders would be kept informed.

Share Performance

On 13 May 2021, shares closed at AU$0.130, down 3.704%.

DO WATCH: Thomson Resources wraps up rocking December Quarter


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