Business
Joint Venture with Randgold in Senegal
Joint Venture with Randgold in Senegal.
About this update from Goldstone Resources Limited
[{"type":"text","content":"\n \nRNS Number : 7471B Goldstone Resources Ltd 08 April 2013 \n \n\nGOLDSTONE RESOURCES LIMITED\n(\"GoldStone\" or the \"Company\")\n \nJoint Venture with Randgold over Sangola Project, Senegal\n \nGoldStone Resources Ltd (AIM: GRL), the AIM quoted company focused on gold exploration in West and Central Africa, is pleased to announce that the Company has entered into a joint venture agreement with Randgold Resources (Senegal) Limited (\"Randgold\") over the Sangola gold project in Senegal.\nHighlights\n· Joint venture with Randgold for the exploration and potential development of a mine at Sangola\n· Randgold to fund all costs up to and including the completion of a pre-feasibility study indicating that the mining of at least 1Moz of gold is feasible\n· Joint venture to be owned 51% by Randgold and 49% by GoldStone with GoldStone having the election to contribute towards a feasibility study or dilute to 35% \nJurie Wessels, Chief Executive Officer of GoldStone, said: \"We are delighted to have entered into this joint venture with our neighbour Randgold, who have an exceptional track record of finding and developing gold projects in West Africa. We are retaining a material interest in the project whilst removing any funding requirement until the project has advanced significantly. We are looking forward to moving ahead at Sangola with our new partners.\"\nDetails of the Joint Venture\nOn 5 April 2013 GoldStone entered into a joint venture agreement with Randgold, a wholly owned subsidiary of FTSE 100-quoted Randgold Resources Limited, in relation to the exploration, evaluation and, potentially, the development and mining of the Sangola project in Senegal (the \"Joint Venture\"). Randgold will hold 51% of the Joint Venture and GoldStone 49% and a committee comprising three representatives from Randgold and two from GoldStone will manage the project.\nUnder the terms of the Joint Venture, Randgold has agreed to undertake exploration over the Sangola permit and fund all work up to and including the completion of a pre-feasibility study (\"PFS\") on the project. The committed work includes the execution of at least 10,000 metres of reverse circulation (or equivalent) drilling per annum up to the completion of a PFS which i...