Glandore was the flagship gold project for Aruma Resources, acquired in 2010.

Aruma Resources Limited has entered into a Joint Venture Agreement with Southern Gold Limited (ASX:SAU)(ASX Announcement, 6 April 2016) and allows SAU to earn up to 90% interest through exploration expenditure of $1.2 million over the next 3 years.

The Agreement covers 28.7km2 of continuous tenements located adjacent Southern Golds existing Bulong Gold Project and their nearby Cannon Gold Mine.

The Glandore JV Project is situated approximately 30km east of Kalgoorlie-Boulder in the Eastern Goldfields Province of Western Australia. The prospect consists of 3 Mining Licences and 11 Prospecting Licences, with all leases held 100% by Aruma Resources Ltd.

TECHNICAL SUMMARY

(From Southern Gold Limited, ASX Announcement, 11 April 2016)

‘The Company believes the Glandore Project offers one of the best near term new development opportunities currently known in close proximity to operating mills in the Kalgoorlie district. In addition to the known mineralisation, work carried out by Aruma and previous explorers has highlighted the potential for the area to host additional mineralisation. This belief and potential are supported by:

  • The presence of significant width and grades of gold mineralisation near surface, at multiple locations, such as 4m @ 18.8g/t Au (HGRC032) and 10.25m @ 10.3g/t Au (GDJD336).
  • The width and grades are likely to be amenable to mining by open cut methods and is anticipated to be free-milling.
  • Ore grade intersections remain untested at depth or along strike.
  • Modern modelling techniques have highlighted the presence of extensive alteration pathways which will facilitate more regional exploration targeting.