Founded in 2014, the Company is a mining exploration company with projects in Slovakia.
In September 2014, the Company entered into a Term Sheet with EMED Mining Public Limited (now renamed Atalaya Mining plc) (Atalaya). Following due diligence, a positive decision was reached by the Company to proceed with the transaction and an Earn-in Agreement between the Company and Atalaya was executed to formalise the staged purchase by the Company of up to an 81% interest in Slovenské Kovy, s.r.o. (SLOK).
SLOK was a wholly owned subsidiary of Atalaya which held 100% of two exploration licences covering approximately 115 square kilometres in the Hodrusa-Hamre/Banska Stiavnica mining district and the nearby Nova Bana goldfield where more than 1,000 years of historical production is estimated to have totalled 2.4 million ounces of gold, 120 million ounces of silver, 70,000 tonnes of zinc, 55,000 tonnes of lead and 8,000 tonnes of copper.
The Hodrusa-Hamre/Banska Stiavnica mining district and the Nova Bana goldfield are located approximately 180 kilometres east of Bratislava in Slovakia, a country member of the European Union and Eurozone.
Based on an existing extensive geologic database which, where able, has been correlated within reasonable variability by the Company’s exploration results, the Company’s exploration target ranges of tonnages and grades have been estimated as:
· 25 - 30 million tonnes @ 3.5 - 7.0 g/t gold and 100 - 300 g/t silver.
· 2.8 – 6.8 million ounces gold and 81 - 290 million ounces silver.
An Exploration Target is a statement or estimate of the exploration potential of a mineral deposit in a defined geological setting where the statement or estimate, quoted as a range of tonnes and a range of grade, relates to mineralisation for which there has been insufficient exploration to estimate a Mineral Resource. The potential quantity and grade of the Exploration Target is conceptual in nature, there has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.
Subsequent to entering into the Earn-in Agreement:
· The Company has earned 81% ownership of SLOK by incurring Stage 1, Stage 2 and Stage 3 exploration expenditures in accordance with the Earn-in Agreement.
· The Earn-in Agreement has been replaced by a joint venture agreement which will, together with customary joint venture provisions, provide for Atalaya to fund its 19% share of expenditures or be diluted.
· The Hodrusa-Hamre exploration licence has been renewed by SLOK, resetting tenure for at least 10 years and reducing annual rental charges.
· The Nova Bana exploration licence has been transferred to a wholly owned subsidiary company of the Company, resetting tenure for at least 10 years and reducing annual rental charges. In accordance with an Addendum to the Earn-in Agreement, the Company and Atalaya ownership percentages of the Nova Bana exploration licence as set out in the Earn-in Agreement will be maintained.
In addition to the Company’s interest in the Hodrusa-Hamre and Nova Bana exploration licences, a number of other open ground, nearby gold-silver and associated metal properties have been identified and are being assessed for pegging and/or acquisition subject to available resources and priorities. At minimal cost to the Company, application has been made for strategic extensions to the Hodrusa-Hamre exploration licence area and other nearby projects. In May 2017 the Company was successfully granted the Jasenie exploration licence. Jasenie is a gold-tungsten project located approximately 90 kilometres northeast of the Hodrusa-Hamre licence area on the southern side of the Nízke Tatry mountains, north of Jasenie village.
The size and prospectivity of the Hodrusa-Hamre, Nova Bana and other potential licence areas presents both opportunity and challenge to the Company. Opportunity in the form of the number of targets for discovery and development and challenge in the form of which targets to prioritise and how to best invest shareholders’ funds for the best return from exploration efforts.