ABM Resources NL (ASX:ABU) Quarterly Activities Report For Period Ending 31 March 2010
Perth, May 3, 2010 AEST (ABN Newswire) - ABM Resources NL (
ASX:ABU) is focussed entirely on its gold and gold-copper projects in the Northern Territory of Australia. The Company continues to seek alternatives for its non-core assets including the Erayinia volcanogenic massive sulphide systems, Broads Dam gold project and Mozambique assets.
During the Quarter ABM was successful in further consolidating the Tanami-Arunta regions of the Northern Territory with an acquisition of over 4,700 square kilometres of exploration licenses from Newmont Asia Pacific. This amounts to a total of over 28,000 square kilometres of exploration licenses and exploration license applications giving ABM the largest junior-gold landholding in the country. The Newmont Asia Pacific agreement was first announced on January 28th, and finalised on March 30th, 2010.
The Company continued to prioritize its gold targets and has now assessed a total of 8 targets deemed as "discoveries" where potential ore-grade / width intersections have been identified. A full asset summary can be found in Appendix 1 in the link at the end of this release.
During the Quarter, ABM Resources finalized appointments to its technical team. Four new geologists have been appointed and a support-team has been assembled.
Between the asset acquisitions, staff appointments and the award of key contracts for specialist technical, drilling, assaying, tenement, data management and field services, ABM Resources now has all the pieces in place to commence its plan to unlock the gold potential of what is arguably Australia's Final Frontier - the Tanami-Arunta regions.
TENEMENT PORTFOLIO
ABM has added 24 exploration licences and 6 exploration licence applications to its portfolio on completion of the Newmont agreement.
The tenements in Zambia were relinquished as they no longer form part of the Company's strategy.
CORPORATE
This Quarter was a very active Quarter on the corporate side seeing the completion of several Agreements, partial completion of a major capital raising of up to $20 Million, conduction of a General Meeting on March 24th and the completion of the half yearly report.
Capital Raising / Director and Employee Shares
The Company completed Tranche 1 of a capital raising to raise a total of $20 Million under the existing placement capacity and partially completed Tranche 2 of the raising. Both placements were approved by shareholders at a General Meeting held on March 24th. The total number of shares issued during the Quarter for the raising was 420,984,918 at $0.024 per share raising a gross total of $10,103,638. A further allotment of 105,728,631 Tranche 2 shares raising gross proceeds of $2,537,487 occurred on April 7th and remaining funds are being allocated progressively into Quarter 2.
In accordance with Resolutions 5, 6 and 7 of the General Meeting held on March 24th the Company issued 29,120,000 shares to directors under the Company's Employee Share Plan ("Plan") and the Company also issued 34,212,000 shares to Employees under the Plan. The issue price of the shares is $0.024 and has been loaned to the directors and employees pursuant to the Plan. For further details refer to the announcement on March 29th.
Ochre Agreement
Further to the ASX announcements 10 June 2009 and 14 September 2009 regarding the agreement, the directors of ABM confirm that all conditions precedent to the agreement have been met.
In accordance with an agreement between ABM and Ochre Holdings Pty Ltd ("Ochre") dated June 10th, 2009 and following the successful introduction of the Tanami NT Project, a project of major significance, Ochre securing the funding for the project and Ochre securing an experienced management team, ABM has issued 50,000,000 shares and 265,000,000 unlisted options to Ochre's nominees. For further details refer to the announcement released on January 15th.
Yuendumu Agreement
ABM acquired the 20% interest of the Yuendumu Mining Company ("Yuendumu") in the Tanami tenement EL8434 for a cash consideration of $5,000, 500,000 fully paid ordinary shares and 500,000 unlisted options. For further details refer to the announcement released on January 15th.
Newmont Agreement
On January 28th the Company entered, along with their alliance partner Tanami Gold NL, into an agreement with Newmont Asia Pacific for the acquisition of Assets in the Northern Tanami and the Barrow Creek / Lander River areas for a cash consideration of $10.775 million (ABM consideration only). In the transaction ABM acquired 100% of certain exploration licenses and Tanami Gold acquired the Central Tanami Mine and proximal exploration licenses. The completion of the Agreement was scheduled and successfully completed on March 30th. Some of the tenements acquired are held by a company called Australian Tenement Holdings Pty Ltd which is now a 100% owned subsidiary of ABM.
The completion of this acquisition is a major milestone in the history of the Company and added 4700 square kilometre of Exploration Licenses to ABM's portfolio which now consists of over 28,000 square kilometres of exploration licenses in an area the Companies considers to be the "Final Frontier for Gold Discovery" in Australia. Please refer to Appendix 1 for summary details of all of the Company's projects.
For the full Quarterly Report, please view:
http://www.abnnewswire.net/media/en/docs/62773-ASX-ABU-489408.pdf
About ABM Resources NL
ABM Resources (ASX:ABU) is developing several gold discoveries in the Central Desert region of the Northern Territory of Australia. The Company has a multi-tiered approach to exploration and development with a combination of high-grade production scenarios such as the Old Pirate High-Grade Gold Project, large scale discoveries such as Buccaneer, and regional exploration discoveries such as the Hyperion Gold Project. In addition, ABM is committed to regional exploration programs throughout its extensive holdings including the alliance with Independence Group NL at the regional Lake Mackay Project.
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