Wedoany.com Report-Jun 3, Firetail Resources, an Australian exploration company, has entered into two binding option agreements with Athena Gold and Badlands Resources to acquire interests in two gold projects in the United States. The agreements cover the Excelsior Springs project in Nevada and the Bella project in South Dakota.

Firetail Resources will have a total of approximately 504 million shares on issue upon completion of both transactions.

The Excelsior Springs project, located in Nevada’s Walker Lane Trend, has produced over 40 million ounces of gold historically, with the Buster Mine contributing more than 19,000 ounces at 41 grams per tonne. Firetail will acquire an 80% stake in this project, while Athena Gold retains a 20% interest until a definitive feasibility study is completed. The Bella project, situated in South Dakota’s Homestake Gold Belt, is in a region known for approximately 85 million ounces of gold production, and Firetail will secure full ownership.

To earn its 80% interest in Excelsior Springs, Firetail will invest $5 million (A$7.71 million) over five years. The agreement includes a A$50,000 exclusivity fee, A$200,000 in cash, 32 million fully paid ordinary shares, and a 1% net smelter royalty to Athena Gold for specific claims. The deal requires shareholder approval and a formal joint venture agreement, with completion expected by August 7, 2025.

For the Bella project, Firetail has paid a C$100,000 (US$72,777.60) exclusivity fee and will provide C$600,000 in cash and 17 million fully paid ordinary shares. A 1% net smelter royalty is granted to Badlands Resources, which Firetail can repurchase for C$500,000 within five years of starting commercial production. Upon completing both transactions, Firetail will have approximately 504 million shares issued.

Firetail’s managing director, Glenn Poole, said: “The acquisition of such high-calibre gold assets will complement our current portfolio and leverages off the board’s strengths, enabling us to diversify our exposure to the prevailing strong gold and copper prices. The Excelsior Springs Project represents an advanced, drill-proven opportunity with gold from surface, and the mineralisation remaining open in all directions with the potential to deliver an expedited resource – reinforced by the presence of further historic mines within the mineral claim that highlight the potential precious metal endowment of the area. The Bella Project sits in the shadow of a giant, with the Homestake mine being one of the most notable in modern history. The evidence we see on the ground – of extensive mineralisation-hosting Banded Iron Formation and multiple, significant grades occurring across the wider project area is highly encouraging.”

These agreements follow Firetail’s earlier deal in September 2024 to earn an interest in the York Harbour copper-zinc-silver project in Newfoundland, Canada.