The Rumble Resources Ltd (ASX: RTR) share price climbed 9.09% higher today to 18 cents. This came after the company announced it would buy 100% of the Western Queen Gold Project in Western Australia.
What are the acquisition details?
Rumble Resources struck a deal with Ramelius Resources Limited (ASX: RMS) to acquire 100% of the Western Queen Gold Project.
Rumble will pay for the project with its own shares. It will issue $1 million worth of shares at a price based on the 30-day volume weighted average price prior to completion. Rumble noted the ASX listing rules allow for the placement to be conducted.
With exploration of the Western Queen site ongoing, Rumble Resources will provide an update when the drilling project is completed and assays finalised.
Current resource estimates for the Western Queen deposit are 962,000 tonnes at 3.9 grams per tonne of gold, with a total resource of 120,000 ounces of gold.
About the Rumble Resources share price
Rumble Resources is an Australia-based resources company with a focus on finding value in existing mineral resource assets. It has been listed on the ASX since 2011.
In its June quarterly activities report, Rumble Resources said it had identified multiple high grade gold shoots at Western Queen. The company secured a 500% increase in its landholding, extending the project strike to 35km.
Company drilling at its Fraser Range nickel, copper and gold project in Western Australia will target tier-1 discoveries of each of the minerals. The company also confirmed that drilling at Munarra Gully in Western Australia had revealed a tier-1 gold copper and silver system.
In addition, its drilling at Earaheedy in Western Australia had confirmed large scale zinc lead and silver discoveries. The company also identified 15 high priority target zones at its Lamil copper and gold project in Western Australia.
Rumble Resources had $6.19 million in cash on hand at 30 June 2020 up from $2.9 million at 30 March 2020.
The Rumble Resources share price is up 300% since its 52-week low of 4.5 cents. It has returned 157.14% since the beginning of the year. The Rumble Resources share price is up 100% since this time last year.
