Artemis Resources Limited (ASX: ARV) has added further funds to support its core Carlow Castle and Paterson Central projects in WA with the completion of a sale of its interests in the Purdy’s Reward and 47K Patch gold project to Novo Resources.
The company also reported that a joint venture agreement with Novo Resources Corp has been terminated.
The consideration for the sale of the company’s interests in tenements E47/1745 (Purdy’s Reward) and tenement E47/3443 (47K Patch) was $820,000 in cash and 1,640,000 shares in Novo.
Non-Executive Chairman, Mark Potter, said Artemis’ 4,000m Carlow Castle RC drilling programme continues uninterrupted, with no effect from COVID-19 restrictions at present.
To date 27 holes have been completed across fence-lines to the west and south of the existing Carlow Castle resource area, and currently the rig is operating on the Eastern side of the Carlow Castle resource area.
A geophysical crew is due on site on 25 March to undertake down hole geophysics on a select number of cased holes along the strike of the existing inferred resource which will assist in the identification of new drill targets.
The first batch of samples have already been dispatched to the laboratory for assay and the overall programme remains on track to be completed by the end of March.
The company recently completed a site visit to the Paterson Central Project on in advance of its proposed geochemical programme.
This included observations of the work currently underway at the nearby Havieron Gold- Copper Project where the Newcrest Mining/Greatland Gold JV currently has a reported eight rigs in operation.
The successful completion of the sale of tenements to Novo Resources has provided the company with a substantially strengthened treasury which places the company in a much stronger position during these challenging market conditions,” Mr Potter said.
“Drilling is continuing apace at Carlow Castle and we keenly await the results of these RC drilling and DHEM programmes. Furthermore, we now have work at Paterson Central firmly in our sights and look forward to progressing that as soon as practicable.
“In addition, the company instigated a significant review and optimisation of its cost base back in January, well before recent global events became acute.
“Through mutual agreement with stakeholders, suppliers and consultants, we have successfully reduced the fixed operating cost base of the Company in order to maximise in-ground spend on exploration projects.
“To this end Alastair Clayton, Executive Director appointed in January has to date deferred all payments since joining the Company and other Directors have already part-deferred and or waived payments. Conserving cash for deployment to value added exploration activities is our top priority.
“Additional non-core asset disposals are currently being progressed which are expected to further strengthen the treasury and reduce operating costs. We hope to conclude these transactions in the coming weeks.”