Gorilla Gold Boosts Comet Vale Stake to 100%, Backed by $3M Payment
Gorilla Gold has exercised its option to acquire the remaining 49% stake in the Comet Vale Project, increasing its ownership to 100% and positioning itself to capitalise on recent high-grade discoveries.
- Gorilla Gold increases ownership in Comet Vale Project from 51% to 100%
- Acquisition involves a $3 million cash payment expected to complete within weeks
- Comet Vale hosts a mineral resource estimate of approximately 96,000 ounces at 4.8 g/t gold
- Recent drilling at Sovereign and Lakeview prospects has yielded new discoveries
- Project benefits from granted mining leases and proximity to operational gold mills
Gorilla Gold Consolidates Ownership
Gorilla Gold Mines Ltd has taken a decisive step to strengthen its position in the Comet Vale Project by exercising its option to acquire the remaining 49% interest from Sand Queen Gold Mines Pty Ltd. This move elevates Gorilla's stake from a controlling 51% to full ownership, underscoring the company's commitment to unlocking the project's potential. The transaction involves a $3 million cash payment, with completion anticipated within the coming weeks.
Historical Significance and Resource Base
The Comet Vale Project, located in Western Australia, boasts a rich history of gold production exceeding 200,000 ounces at impressive grades above 20 grams per tonne. More recently, the project holds a mineral resource estimate of approximately 96,000 ounces at an average grade of 4.8 g/t gold, situated within granted mining leases. Its strategic location near multiple operational gold mills within 100 kilometres enhances its logistical and processing advantages.
Exploration Momentum at Sovereign and Lakeview
Gorilla Gold has intensified exploration efforts at the Sovereign and Lakeview prospects, employing Reverse Circulation and Diamond drilling techniques. These activities have yielded encouraging new discoveries this quarter, reinforcing the company's strategy to expand the high-grade resource base. The focus on growth drilling reflects a deliberate approach to extend the life and scale of the Comet Vale asset.
Strategic Implications and Next Steps
By securing full ownership, Gorilla Gold gains unencumbered control over the project's development trajectory, enabling streamlined decision-making and potential acceleration of production plans. The company will now work closely with Sand Queen to satisfy the remaining conditions precedent under the binding option agreement. Market watchers will be keenly observing the completion timeline and any forthcoming updates on resource upgrades or feasibility studies.
Bottom Line?
Gorilla Gold’s full ownership of Comet Vale sets the stage for accelerated growth and resource expansion in a historically rich gold district.
Questions in the middle?
- What are the detailed results and grades from the recent drilling at Sovereign and Lakeview?
- How will full ownership impact Gorilla Gold’s development timeline and capital allocation?
- When can investors expect an updated mineral resource estimate reflecting recent discoveries?
