Pacific Resources (ASX:PXR) acquisition of Snowstorm Project in Eastern Victorian Goldfields

Pacific Resources has entered into a Binding Agreement to acquire 100% of the issued capital of private exploration company Mines of Stirling Pty Ltd, which holds 100% interest in the Snowstorm Project (PL007319), for total acquisition consideration of $400,000.

The Snowstorm Project is a high-grade gold project located in the Eastern Victorian Goldfields, in the East Gippsland region of Victoria.

Highlights

• Binding Agreement executed to acquire 100% of Mines of Stirling Pty Ltd
• Total acquisition consideration of $400,000
• Snowstorm Project includes 3,197m diamond core and 424m rotary air blast drilling
• FAU drilling returned very high-grade results including 59.2g/t gold
• Surface sampling returned 123g/t gold
• Approved work plan includes a 3,000t underground mining and bulk sampling program
• Prospecting Licence PL007319 adjoins Exploration Licence EL007335

The Snowstorm Project was described in the release as a high-grade gold exploration asset, with extensive drilling from previous project owners.

The release stated FAU drilling returned very high-grade results including 59.2g/t gold and also referenced SNDDH001 with 0.4m @ 64.4m for 49.3g/t Au.

FAU also conducted surface sampling at the Snowstorm Project area, which returned 123g/t gold from Sample ID 160306, while the release also referenced 3,197m of diamond drilling and 424m of rotary air blast drilling completed for the Project.

The Snowstorm Project (PL007319) is located in the Eastern Victorian Goldfields, in the East Gippsland region of Victoria.

The Prospecting Licence adjoins Exploration Licence EL007335, which is the subject of the option to acquire the Eastern Victorian Goldfields Project from First AU.

The release stated that the geology of the Snowstorm Project is considered analogous with the Fosterville Gold Mine in eastern Victoria.

The area of the Snowstorm Project was also described as having a long history of recorded gold production, with mining in the area indicating that historically 98,133oz of gold has been extracted from 118,412t of ore at a grade of approximately ~25.77g/t Au.

Historical records also show that approximately 14,000oz of gold was extracted in the wider area surrounding, and including, the Snowstorm Project from 1860 to the 1880’s.

The release stated that the Snowstorm Project has an approved work plan to undertake an underground mining and bulk sampling program to extract 3,000t of ore, which Pacific Resources plans to re-assess in detail as an initial priority for its fieldwork programs.

The bulk sampling is designed to provide increased geological understanding, sufficient sample quantity for mineral processing test work and further access to areas beneath previously reported high-grade surface samples to test for repeat systems at depth, while the release stated there is also significant up-dip potential in the mineralised shear zone accessible outside the bulk sample target zone, which presents a further exploration opportunity within the project area.

Pacific Resources Chief Executive Officer Andrew Fogg stated,

“The Snowstorm Project has an extensive drilling database of 3,621 metres of drilling completed by previous project owners, and this drilling has delivered very high-grade gold intersections.”

The acquisition terms stated that a non-refundable deposit of $40,000 has been paid, $160,000 is payable on or before 31 May 2026, upon which PXR will be transferred ownership of 50% of the issued capital of Mines of Stirling Pty Ltd, and $200,000 is payable on or before 17 July 2026, upon which PXR will be transferred ownership of the remaining 50% of the issued capital of Mines of Stirling Pty Ltd.

The receipt of the second payment and transfer of ownership of the remaining 50% of Mines of Stirling Pty Ltd to PXR will result in PXR assuming 100% ownership of the Snowstorm Project (PL007319) and will complete the acquisition.

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