From the Australian News Paper Today:...

From the Australian News Paper Today:

http://www.theaustralian.com.au/bus...tngs-mount-peake/story-e6frg916-1227444843694

Legend Mining

Legend Mining (LEG) is a rare thing among ASX-listed explorers in that it is cashed-up.

And thanks to a recent deal, it has a near province-sized footprint in an exploration hotspot — the Albany-Fraser belt in Western Australia, home to the stellar Nova nickel/copper find by Sirius, and the Tropicana gold mine of AngloGold/Independence.

It has about $18m in cash, shares and receivables, meaning that it can get on with the hunt on what it is calling its Rockford project area for the next big find in the region.

And because it is trading at all of 1.1c for market cap of $21m, leverage to a sniff of something interesting falls in to the extreme category. Legend — it is cashed up after selling out of its Cameroon iron ore play at the right time — already had a small presence in the Albany-Fraser belt.

But the scale of the position has been increased dramatically under a deal with prospector extraordinaire — and 25 per cent Legend shareholder — Mark Creasy. It was of course Creasy who pegged the ground covering the Nova discovery. And he is to get $75m cash and become an 18 per cent shareholder in Independence as his reward once the planned $1.8bn merger of Sirius with Independence is put to bed.

The Legend deal is similar to the original deal with Sirius in that Legend is to acquire a 70 per cent interest in the Creasy tenements in return for $2.5m cash, 71.5 million Legend shares, and 150 million 5-year Legend options, exercisable at 4c a share. Legend also sole funds future exploration.

Shareholders, other than Creasy, vote on the deal early in September and it will be subject of an independent report. There should be no issues.

Thanks to about $1.5m in early exploration work by the Creasy group, three early stage targets beneath the sand cover have already been identified. There is more work to do to define legitimate drilling targets.

But look out for some-impact holes to put things at Rockford to the test early in the new year. Any success should be celebrated with Rockford Basket Press Shiraz from the Barossa.