Logo of Phnom Penh Post newspaper Phnom Penh Post - Blue River buys into Cambodian gold hunt

Blue River buys into Cambodian gold hunt

Blue River buys into Cambodian gold hunt

Canadian mineral exploration company Angkor Gold Corp has signed an agreement with Vancouver-based junior mining firm Blue River Resources Ltd to fund exploration of its gold prospects in northeastern Cambodia, the company said in a press release yesterday.

Under the terms of the deal, Blue River will invest up to $3.5 million over a four-year period into exploration of Angkor’s Banlung tenement in Ratanakkiri province in exchange for up to 50 per cent interest in the licence.

Blue River may then exercise an option for an additional 20 per cent interest by completing a bankable feasibility study on some or all of the 150-square-kilometre tenement.

Mike Weeks, CEO of Angkor Gold, said the deal will give his firm the funding it needs to move “full steam ahead” on exploration of the tenement and its flagship Okalla West project, where discovery of a tantalising 2-square kilometre gold-bearing anomaly was announced last October.

“The beauty of this anomaly is its proximity to surface – making it easier to work on, and quicker to move to a development strategy if warranted,” he said.

Angkor Gold first put its boots on the ground in Cambodia in 2009. The listed company currently holds seven exploration licenses in Cambodia covering nearly 1,500 square kilometres.

Griffin Jones, president of Blue River Resources, said his company – which is exploring and developing copper deposits in western Canada and the United States – had been on the lookout for opportunities outside its traditional markets.

“There are great synergies here, and we are keen to get on the ground and build shareholder value for both companies moving forward,” he said.

MOST VIEWED

  • Hungarian exposes 90 to Covid in Siem Reap

    The Ministry of Health has discovered 90 people who have been exposed directly or indirectly to a Hungarian man infected with Covid-19. They all are required to quarantine at home and the hospital. The ministry is searching for other affected people. Among the 90, one is the

  • PM: West unfair to Cambodia

    Prime Minister Hun Sen released a message celebrating the International Day of Peace on Monday, saying that some major powers and western countries had been systemically cooperating to put political pressure on Cambodia as they did in the 1970s and 1980s. Hun Sen said pressuring

  • ‘Bad news is an investor’s best friend’ – unlocking investment potential in Cambodia

    It is time to shop. Economic woes provide good pickings for investors if they know where to look The poem If, written by English Nobel laureate poet and novelist Rudyard Kipling for his son circa 1895, is widely perceived as fatherly advice for John who would

  • PM requests Russia’s Covid vaccine

    Prime Minister Hun Sen has requested that Russia provide Cambodia with its Covid-19 vaccine after the former announced it planned on mass vaccinating its population next month. The request came on Thursday through the prime minister’s Facebook page as he met with Anatoly Borovik,

  • First ‘mobile kitchen’ in Cambodia enters service

    A catering company recently rolled out Cambodia’s first “mobile kitchen” – a $50,000 container capable of serving up to 200 people at a time. The kitchen is the brainchild of Seng Hok Heng Catering Services. At 4.4m-high, 6.8m-long and 2.4m-wide (expandable to 6.8m), the kitchen is equipped

  • Kingdom, China rebut basis for US sanctions

    The Council for the Development of Cambodia, the Ministry of Foreign Affairs and International Cooperation, and Tianjin Union Investment Development Group Co Ltd (Tianjin) have responded to US sanctions on Union Development Group Co Ltd (UDG), a Chinese-owned company currently developing the sprawling $3.8 billion Dara