Marengo outline focus areas for 2015

 Marengo Mining Ltd says its work programme for this year will continue to focus primarily on analysing geologic evidence from previously completed work for its Yandera project in Madang.

Chief executive Pieter Britz said the programme would include planning of new field programmes, to identify areas prospective for high-grade mineralisation, and develop additional drill targets. 

“All work was focused on improving economic viability of the Yandera project,” he said. 

Meanwhile, signing of debenture agreement (financing agreement) by the company with its major shareholder, Sentient Executive GP IV Ltd for general partner of Sentient Global Resources Fund IV 

L.P had received approval from shareholders. 

Britz said: “The debentures would mature on June 30, 2017, and would bear interest from and including date of issuance at rate of 9 per cent per annum, payable at the maturity date. 

“The transaction received disinterested shareholder approval at the annual and special meeting of the shareholders held on December 18, 2014, and was approved by Toronto stock exchange. 

“The company expected to use the funds obtained from the transaction for development of Yandera project, including ongoing exploration work and drilling programme, funding working capital requirements and for general corporate purposes,” he said. 

Blitz said the company had commenced a drilling programme at its newly identified Rima prospect (located West of Yandera project) in latter part of the quarter and completed four holes.

“The cores from the four drilled holes have been sent to an assay laboratory and the company is anticipating final results this month.

“Due to the current rainy season in PNG, field work had been suspended and was expected to resume next month.”