IGO takes majority stake in WA copper-cobalt project

The news: Critical minerals producer IGO has picked up a majority stake in the Yeneena copper project in Western Australia.

The numbers: IGO completed $15 million in exploration expenditure at Yeneena, thereby earning a 70% interest in the project. Encounter and IGO entered into an earn-in and joint venture agreement covering Yeneena in March 2020, following the discovery of the BM1 copper oxide prospect.

The context: Yeneena comprises a major land position in the highly prospective Paterson Province in northern WA, targeting copper-cobalt mineralisation. A joint venture between IGO and Encounter covering Yeneena has now been established. Each party will contribute pro-rata funding for exploration expenditure. If either party’s interest dilutes to below 10% it will automatically convert to a net smelter royalty.