Kaiser Reef Limited (ASX:KAU) (Kaiser or the Company) is pleased to announce that it has entered into an agreement with Golden River Resources Pty Ltd (GRR or Golden River) pursuant to which it has conditionally agreed to acquire the following material assets in the Victorian Goldfields, collectively known as the Project:
- Four granted Mining Leases, 3 in the Bendigo Block and one at Woods Point, with proven gold endowment.
- The Maldon Goldfield with historic production of 1,740,000 ounces of gold at an average grade of 28 g/t gold.
- The A1 Gold Mine with historic production of 620,000 ounces of gold since 1861. The A1 Gold Mine is fully permitted and currently operating.
- The Porcupine Flat gold processing plant (located at Maldon) which is fully permitted and currently operating at reduced capacity under administration (collectively the “Acquisition”).
If completed, the Acquisition will propel Kaiser into the highly sought after Victorian high-grade gold district. The Project has goldfields that have an exceptional production history and yet remain very poorly tested by modern exploration. The Victorian gold fields are now supporting high grade and
highly profitable operations. The Acquisition will include the Nuggetty Mine which was one of the highest-grade gold mines in Victoria, having produced 301,000 ounces at an extraordinary average grade of 184 g/t gold. A plan of the Maldon goldfield is shown in Figures 1 and 2.
Kaiser will also have immediate gold production from the fully permitted A1 Gold Mine, see Figures 3 and 4. Upon completion of the Acquisition, Kaiser will also own a fully permitted and operating gold treatment plant, see Figure 5, utilising crush, grind and CIL processing to produce gold dore on site at the Porcupine Flat gold processing plant.