Southern Gold will now be able to build on its discovery, the Cannon Gold Resource, in the Bulong Gold project area with the purchase of an additional 29% tenement rights at Bulong South and Bulong East from Heron Resources, reported Proactive Investors.
The area, which has been majorly explored for nickel, has shown potential for gold, following discoveries made by Integra Mining about 10km south-east to Southern Gold’s tenement boundary.
Majestic and Imperial discoveries led to 280,000oz and 43,000oz gold find respectively.
Over 30 prospective targets in the Bulong East and Bulong South JV areas were identified under the Stage 1 exploration.
Based on these results, Southern Gold chose to meet the Stage 2 commitment, which comprised a further spending of $500,000 and $120,000 on the tenements.
