Tempus Resources Expands Portfolio, Moves to Acquire Copper and Base Metals Project in Canada

Tempus Resources Ltd (ASX: TMR) has entered into a conditional agreement to acquire 100% of the highly prospective Prescott copper and base metals project.

Prescott is strategically located in Canada’s Nunavut region, and consists of 48 licences covering 589 square kilometres that are predominantly located on Prince of Wales Island.

The project is 100 kilometres from American West Metals Ltd’s (ASX: AW1) Storm Project which hosts an Indicated and Inferred resource of 17.5 million tonnes at 1.2% copper and 3.4g/t silver.

Geological prospectivity of Prescott

An interpreted anticlinal structure has resulted in a repetition of the same geological sequence which hosts the neighbouring Storm Project, but on the adjacent Prince of Wales Island.

The project area stretches over 240 kilometres of apparent strike with potential to host a Sedimentary Hosted Copper deposit or Mississippi Valley-Type deposit containing zinc and lead.

Sediment-hosted copper deposits are a globally significant source of copper, forming one of the two main types of deposits, with the other being porphyry.

These types of systems present significant opportunity for a material mineral discovery.

The acquisition of Prescott remains subject to several conditions, including shareholder approval.

First exploration plans

Planning activities are underway for a maiden exploration campaign scheduled to begin in June 2024.

This is likely to include a gravity gradiometric survey and a geochemical sampling program.

Compelling opportunity

Chris Hansen, non-executive director, commented:

“The Prescott Project covers a substantial area on both the Prince of Wales and Somerset Island’s, and importantly is interpreted to share the same geological sequence that hosts the nearby Storm Copper Project operated by ASX-listed American West Metals (ASX:AW1).

“This proximity and the interpreted geological continuity presents a compelling opportunity for Tempus to explore for both sediment-hosted copper deposits and Mississippi Valley Type deposits in a proven jurisdiction.

“District scale exploration opportunities like this are becoming increasingly rare, with Tempus being one of the first movers in this emerging region.”

Consideration

Tempus has entered into a conditional agreement to acquire 100% of the shares in Somerset, which in-turn holds a 100% interest in the Prescott Project.

There is a non-refundable exclusivity fee of $75,000 covering three months to support exploration programs.

Consideration is 300 million Tempus shares, with another 100 million performance rights which convert one-for-one to shares based on milestones, and a 1.5% net smelter royalty.

Hansen holds 16.55% of the issued capital in Somerset.

With this, Hansen did not participate in the Tempus board meeting that considered proceeding with the acquisition.

Additional portfolio

Current assets in the Tempus portfolio include the flagship Blackdome-Elizabeth Project, a high-grade gold past producing project located in Southern British Columbia.

The company also holds two exploration projects located in located in south-east Ecuador, the Rio Zarza and the Valle del Tigre projects.

Tempus held $2 million in cash at the end of March 2024.

 

 

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