Australia-based Everest Metals has signed a binding farm-in and joint venture term sheet with Entelechy Resources to acquire up to 100% stake in the Revere gold project in Western Australia.

As part of the transaction, Everest Metals will initially pay A$10,000 ($6879.45) in cash and issue three million fully paid ordinary shares to Entelechy to acquire a 51% stake in the project.

Later, upon the completion of all exploration and development work required to complete a feasibility study within a period of five years from the deal and issuance of Everest Metals’ ordinary shares to Entelechy, the former will obtain full ownership of the project.

Located about 90km to the north-east of Meekatharra in the Murchison Region, the Revere gold project is spread over an area of 82km2.

The gold project is situated along an inferred extension of the Andy Well Greenstone Shear System, with the DeGrussa copper-gold mine along strike.

Besides, the project is said to include a system of richly endowed gold reefs called The Revere Reefs that extends 7km from the surface.

Everest Metals expects to commence a diamond drill programme in Q1 2023.

Everest Metals chief operating officer Simon Phillips said: “The acquisition of the Revere Gold Project (RGP) represents a transformational opportunity in a proven prolific gold producing region of Western Australia.

“Gold and precious metals development is a core pillar in EMC’s business strategy and RGP is highly complementary to the recent developments the company has made in the battery metals sector.

“RGP is an advanced asset with significant gold and copper potential – both at surface and at depth – which is clearly evidenced from previous exploration work undertaken across the project, from which there is an abundance of high-quality technical data.”