Tectonic Gold Plc Gold Mining Joint Venture To Fund Exploration

 
TIDMTTAU 
 
13 July 2021 
 
                               TECTONIC GOLD PLC 
 
                      ("Tectonic Gold" or the "Company") 
 
                 Gold Mining Joint Venture To Fund Exploration 
 
Tectonic Gold plc (TDIM: TTAU), the Intrusive Related Gold System ("IRGS") 
explorer, is pleased to announce that it has entered into a joint venture 
agreement with a specialist alluvial mining group to initiate gold mining on 
the Company's Mt Cassidy license area in Queensland. 
 
Highlights: 
 
  * Agreement reached with White Prospecting Pty Ltd ("White Prospecting") to 
    mine alluvial gold on the Company's EPM 26247 (Mount Cassidy Project, 
    Rosewood area). 
  * 7.5% Gross Production Royalty to TTAU to support exploration and drilling 
    budget. 
  * Together with Kazera partnership in diamonds and rare earths builds on the 
    shared revenues to TTAU. 
  * White Prospecting will assume all operational responsibility including 
    permitting, health and safety and rehabilitation. 
  * TTAU to focus on further developing the Specimen Hill discovery. 
 
Mr. Brett Boynton, Managing Director - Tectonic Gold Plc 
 
"We are very pleased to be building this new joint venture with the well 
credentialed team at White Prospecting. As both the diamonds and heavy mineral 
sands projects in South Africa accelerate and the alluvial gold joint venture 
with White Prospecting moves into production, Tectonic's aim is to be fully 
internally funded for gold exploration activities in Australia. This deal is 
designed to bring funding into the company without dilution to shareholders. We 
will utilise this to aggressively pursue what has turned into a very large 
target at Specimen Hill. 
 
A localised COVID resurgence has necessitated restrictions on cross border 
movement in Australia and delayed getting the team back on site, but we expect 
this to be a short break. We have used the time to ink this deal with White 
Prospecting and move other corporate initiatives along." 
 
Background 
 
Rosewood, within the Mt Cassidy license area, holds a wonderful piece of 
Australian history. D. W. De Havelland notes in his 1985 book, Gold and Ghosts 
- Vol 1, "Hungry, hard up diggers would go to work in the morning with empty 
pockets, and even emptier stomachs, and would return that night with perhaps 
100 pounds worth of gold. There were lumps of pure gold, clean as a whistle, 
like so many marbles or pure potatoes and many weighed between 10 - 15 ozs. 
Much of this gold was exhibited in jeweller's windows in Rockhampton and also 
in Brisbane". 
 
Following the discovery of gold in the creeks at Rosewood in 1867 sizeable 
nuggets including some over 100 ozs were recorded, bringing a gold rush to the 
area. The source of this alluvial gold in the creeks and rivers is from the 
hard rock deposits within Tectonic's Mt Cassidy license area. It was eroded 
over time and carried down the streams to deposit in bends in the river. Old 
time prospectors following these alluvial showings upriver led to the discovery 
of the hard rock gold which is the target of Tectonic's exploration today. 
 
Despite extensive workings in the watercourse during the late 1800's, there was 
very limited exploration or testing of the paleochannels. A paleochannel is the 
historic watercourse of a creek or river. Thousands of years erosion and 
geological activity has moved the original watercourse of the creeks and rivers 
at Rosewood, but these historic creek beds, or paleochannels, contain alluvial 
gold, and it is this gold that White Prospecting will be targeting. They are 
experts in the identification of ancient watercourses and mapping them for 
alluvial potential. 
 
Mining this material is really an earthmoving exercise where the old riverbed 
is stripped back down to the bedrock. The gravels from the old riverbed are 
then processed through gravity separation to extract the gold and the gravels 
are then returned and vegetation is rehabilitated. It is low impact and rapid 
turnaround mining. 
 
Preparation for the permitting is underway to begin on site operations as soon 
as possible. Once this has been finalised, Tectonic will advise on the expected 
scale of operations at Rosewood. 
 
Qualified Persons: 
 
Mr Jonathan Robbeson - BSc (Hons1), MEconGeol, MMinEng, (CP Geo) is a full-time 
employee Signature Gold Limited and is a registered Chartered Professional 
(Geology) with the Australian Institute of Mining and Metallurgy (AusIMM - 
304542). Mr Robbeson has sufficient experience that is relevant to the style of 
mineralisation and type of deposit under consideration and the activity being 
undertaken to qualify as a Competent Person as defined in the Note for Mining 
Oil & Gas Companies, June 2009, of the London Stock Exchange and the 2012 
Edition of the 'Australian Code for Reporting of Exploration Results, Mineral 
Resources and Ore Reserves' (JORC Code). Mr Robbeson consents to the inclusion 
in the release of the matters based on his information in the form and context 
in which it appears. 
 
The Directors of the Company accept responsibility for the contents of this 
announcement. 
 
For further information, please contact: 
 
Tectonic Gold plc                                             [phone] 
Brett Boynton 
Sam Quinn 
www.tectonicgold.com. 
@tectonic_gold 
 
Financial Adviser, Corporate Adviser 
and Broker                                                   [phone] 
VSA Capital Limited 
Andrew Raca - Corporate Finance 
Andrew Monk - Corporate Broking 
 
Ends 
 
The information contained within this announcement is deemed by the Company to 
constitute inside information as stipulated under the Market Abuse Regulations 
(EU) No. 596/2014. Upon the publication of this announcement via a Regulatory 
Information Service, this inside information is now considered to be in the 
public domain. 
 
 
 
END 
 
 

(END) Dow Jones Newswires

July 13, 2021 02:00 ET (06:00 GMT)