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WCP takes up its farm-in options

7th February 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Junior WCP Resources has exercised a A$15-million option to farm-in at the Hariqah gold project, in the Republic of Yemen.

At the end of 2011, WCP entered into an earn-in agreement with project owner Cantex Mine Development Corporation, to earn up to a 70% interest in the project by making a series of phased exploration and development expenditures.

Under the terms of the original agreement, WCP could earn a 40% interest by spending A$5-million. By spending A$10-million, the company’s shareholding in the project would increase to 50%, and by spending the full A$15-million, WCP would earn a 70% stake.

The explorer said on Friday that recent drilling results at the Hariqah project had demonstrated the potential for extensions of gold mineralisation to the south of the previously drilled section.

Targeted drilling was now planned to test the remaining underexplored strike directly to the south of the northern section.

MD Peter Woodman said that the ongoing exploration activities continued to support WCP’s view of the project’s prospectivity, adding that the company was now looking to further demonstrate the project’s large-scale potential.

Edited by Creamer Media Reporter

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