Newcrest Mining strikes JV deal with Greatland Gold in the Pilbara

Newcrest Mining has struck a second deal in the space of a week by entering into a joint venture with Greatland Gold, which will focus on the Havieron project in the highly prospective Paterson region of the Pilbara.

The agreement closely follows Newcrest’s recent announcement that it would be acquiring a 70% stake in the Red Chris copper and gold mine in Canada from Imperial metals for AUS$1.1 billion.

Newcrest, the world’s third largest gold producer by market value, has struck an exploration farm-in agreement with Greatland, which will see the former maintain a majority interest in the JV, earning up to a 70% stake by spending $90 million in staged exploration over six years.

Newcrest plans to process any ore from the Havieron site at its nearby Telfer gold mine, in a show of commitment to the low-grade mine.

“We are excited to enter into this partnership,” said Newcrest’s chief development officer Michael Nossal in the statement.

“Further exploration at Havieron is in line with our strategy in Australia of looking under-cover and it is becoming more and more evident that the Paterson region is highly prospective for undercover discoveries.”

@AusBNOnline