TNG in $4m Northern Territory JV

Subiaco-based mineral explorer TNG Ltd is set to joint venture a portfolio of non-core mineral exploration projects in the Northern Territory with Western Desert Resources Ltd.

Under the agreement, WDR subsidiaries can earn up to an 80 per cent interest in the Rover, Goddard and Musgrave Prospects by funding exploration expenditure of $4 million across the project group.

TNG will not be required to make any further financial contributions in respect of its interest in each of the prospects until the successful completion of a bankable feasibility study.

The agreement is consistent with TNG's focus on its core asset, the 100 per cent- owned Manbarrum Zinc-Lead-Silver Project in the Northern Territory, where it completed a major exploration program in 2007 and is currently working on an updated resource estimate.

The three projects subject to the joint venture agreement are prospective for copper, copper-gold, nickel and uranium.

The Rover Project encompasses a 1,254 square kilometre ground package in the Tennant Creek region of the Northern Territory, the Musgrave Project covers a large tract of ground on the south-east margin of the Musgrave Block and the Goddards Prospect (also known as Tanami East) hosts significant malachite mineralisation.

It is envisaged at this stage that each of the Rover, Goddards and Musgrave Prospects will be subject to joint venture arrangements.