KUALA LUMPUR: OM Holdings Ltd's joint venture with Bryah Resources Ltd has commenced drilling for manganese in the Bryah Basin, 150km north of the central Western Australian town of Meekatharra.
Australian Stock Exchange-listed OM Holdings, which completed its secondary listing on the Main Market of Bursa Malaysia in June, shared a statement on Monday that said the 2,000m drilling programme is planned to test some of the potentially concealed manganese targets identified by a geophysical survey in the vicinity of the Brumby Creek Prospect.
The drilling will primarily focus on the Bryah West, Redrum, Mollie and Clover targets, it said.
OM's subsidiary, OM (Manganese) Ltd, entered into a joint venture with Bryah in April 2019, which applies to manganese only over about 600 sq km of the entire tenement package held by Bryah in the Bryah Basin.
The manganese JV includes the Horseshoe South Manganese Mine, which is the largest historical manganese mine in the region.
After funding A$500,000 in project expenditure, OM secured an initial 10% interest in the JV with a A$250,000 exercise fee and has progressively funded A$2mil of exploration expenditure in four tranches to earn up to 51% interest in the JV by June 30, 2022.
Following the completion of A$500,000 Tranche 3 funding to earn a 40% JV interest, OM has committed A$500,000 to fund Tranche 4 to raise its JV interest to 51%.
OM will next fund a further A$1.8mil of project expenditure to earn a 60% interest in the project.
Read Full Story: https://www.thestar.com.my/business/business-news/2021/09/13/om-holdings039-bryah-basin-jv-commences-drilling
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