EMX’s Koonenberry royalty property is located 160 kilometers northeast of Broken Hill in New South Wales, and hosts widespread gold occurrences in eluvial/alluvial surficial materials, exposures of gold in bedrock, and coherent gold geochemical anomalies over broad areas.
EMX acquired its initial interest in Koonenberry by acquiring exploration licenses on open ground after recognizing the property’s potential for hosting undiscovered bedrock gold sources. Although there were no records of previous hardrock mining, much of the gold recovered through surface prospecting occurred as coarse specimens with attached “reef” quartz, suggesting a nearby primary source. The Company’s early stage exploration work established that many of Koonenberry’s geological features are similar to the orogenic deposits of the Victorian Goldfields, also located in southeastern Australia.
In 2017, Koonenberry Gold Pty Ltd. (“KNB”) completed the earn-in requirements under an Exploration and Option Agreement and elected to acquire Koonenberry exploration licenses from EMX, with EMX retaining a 3% production royalty (see EMX news release dated February 19, 2014 and September 19, 2017). EMX also holds a 0.5% production royalty on the Rockwell claim at the Koonenberry royalty property.
KNB has informed EMX of its intention to continue to explore and evaluate the development potential of both the eluvial/alluvial and bedrock sources of gold at Koonenberry.