Minerals 260 Limited has secured an option agreement for 26 tenements near its Bullabulling Gold Project, expanding its regional footprint to approximately 570 square kilometres and reinforcing its exploration ambitions in Western Australia’s Eastern Goldfields.
- Option agreement with Belararox for 26 tenements covering ~50 km²
- Expansion of Bullabulling Gold Project footprint to ~570 km²
- Two-year option with initial A$150,000 payment and potential A$600,000 acquisition
- Supports ongoing 80,000-metre drilling program at Bullabulling
- Project hosts 2.3 million ounces gold resource at 1.2 g/t grade
Strategic Expansion in the Eastern Goldfields
Minerals 260 Limited (ASX: MI6) has taken a significant step in bolstering its presence in Western Australia’s prolific Eastern Goldfields region by executing a two-year option agreement with Belararox Limited (ASX: BRX). This agreement grants Minerals 260 the right to acquire 26 tenements spanning approximately 50 square kilometres contiguous to its flagship Bullabulling Gold Project near Coolgardie.
The newly optioned tenements effectively enlarge the Bullabulling project’s footprint from around 520 square kilometres to nearly 570 square kilometres. This expansion aligns with Minerals 260’s broader regional exploration strategy, aiming to leverage the geological potential of the area while advancing the development of its existing resource base.
Option Terms and Exploration Outlook
Under the terms of the agreement, Minerals 260 has paid an initial A$150,000 and holds the exclusive right to explore the tenements during the two-year option period. The company may elect to exercise the option at any time within this window by paying a further A$600,000, either in cash or shares priced at the 10-day volume weighted average price prior to payment.
This phased approach allows Minerals 260 to integrate exploration activities on the new ground with its ongoing 80,000-metre drilling campaign at Bullabulling, which is currently underway. The optioned tenements offer additional targets that could complement and potentially expand the existing mineral resource.
Bullabulling’s Robust Resource Base
The Bullabulling Gold Project itself is a substantial asset, hosting a JORC 2012-compliant Mineral Resource Estimate of 60 million tonnes at 1.2 grams per tonne gold, equating to approximately 2.3 million ounces of gold. The resource is split between indicated and inferred categories, with multiple zones such as Bacchus, Dicksons, and Phoenix contributing to the total.
Located just 25 kilometres southwest of Coolgardie, Bullabulling is positioned for potential open-pit mining operations. The project’s granted mining leases and contiguous tenement package provide a solid foundation for both near-term development and longer-term exploration upside, particularly at depth and along strike.
Looking Ahead
Minerals 260’s Managing Director, Luke McFadyen, emphasized the strategic value of the option agreement, noting it supports the company’s regional exploration ambitions and expands the Bullabulling footprint. The company’s rapid acquisition and optioning of prospective ground since securing Bullabulling signals a proactive approach to growth in a highly competitive gold region.
As exploration activities ramp up on both the existing and newly optioned tenements, the market will be watching closely for drilling results that could unlock further resource expansion or enhance the project’s development potential.
Bottom Line?
Minerals 260’s expanded tenure near Bullabulling sets the stage for a pivotal exploration phase that could redefine its regional gold potential.
Questions in the middle?
- Will Minerals 260 exercise the option to acquire the tenements within the two-year period?
- What exploration results will emerge from the newly optioned tenements adjacent to Bullabulling?
- How might the expanded footprint influence the timeline and scale of Bullabulling’s development?