Ferrum Crescent has now acquired 100% of the share capital of GoldQuest Iberica, further to the exercise of its option.
GoldQuest owns 100% of two lead-zinc exploration projects in the provinces of Leόn and Galicia, in historic Spanish mining areas.
Consideration comprised £326,500 in cash and the issue of 100 million new ordinary shares in the capital of Ferrum Crescent.
2016 Spanish zinc work programme:
- Analysis and re-interpretation of existing historic data on the Iberian Projects to commence in September 2016.
- Planned work programme, to be overseen by the Company's Senior Project Adviser, Merlin Marr-Johnson, to comprise:
* re-mapping of the main Toral Project area applying re-interpreted geological understanding of the regional controls on mineralisation
* in-fill surveys over the main prospect area where detailed soil geochemistry has not previously been conducted
* structural mapping of the existing adits, outcrop and the nearby mineralisation occurrences in order to gauge the balance between local (not fully tested) and regional (well documented) controls on mineralisation
* re-logging of historical drill-core and re-assaying of areas where incomplete assays were taken previously in order to seek to identify potential new shallow high grade targets at the Toral Project
* creation of a revised geological model incorporating existing and new geological data (geochemistry, structural interpretation, assays, logs, maps)
* generation of a highly targeted drill plan, focused on high-grade near-surface ore shoots linking known surface occurrences and known high-grade mineralisation at depth, for testing in 2017
Executive chairman Justin Tooth said: "We are delighted to have completed the acquisition of such exciting lead-zinc assets in Spain with significant amounts of historic geological and exploration data available.
"The acquisition process has taken longer than initially anticipated, however GoldQuest is now well placed for the next stage of its development as part of our group.
"Our project team has designed a low-cost work programme focused on testing our assumptions, with respect to various extrapolations made by prior owners, through the structured re-interpretation and analysis of the original raw data. I look forward to announcing our progress with this initial work programme in due course."
(LON:FCR) Ferrum Crescent Ltd share price was +0.05p at 0.26p
(LON:MAFL) Mineral Financial Investments Limited Ord 1p share price was 0p at 5.38p