Weststar's interest in the Cohiba (CHK) Farm In Agreement From...

Weststar's interest in the Cohiba (CHK) Farm In Agreement

From announcement yesterday
Olympic Domain Pty Ltd – shareholding in exploration company WestStar notes the interest generated by recent drilling results announced to the market by BHP Billiton (“BHP”, ASX: BHP) from their copper exploration program in South Australia (refer to BHP News Release entitled, “BHP copper exploration program update” ASX: 27 November 2018).

In this regard, the Company confirms that it has maintained a 25% interest in private company Olympic Domain Pty Ltd (“Olympic Domain”, the owner of a portfolio of projects including a tenement adjacent to the BHP tenement where the notable drilling results were achieved. Olympic Domain’s tenements are currently the subject of a farm-in joint venture with Cohiba Minerals Limited (“Cohiba”, ASX:CHK). WestStar looks forward to the results of exploration from the farm-in joint venture (refer to Cohiba News Release entitled, “Execution of Farm-In Agreement to IOCG and Base Metals Exploration Projects in South Australia” ASX: 7 March 2018) with a view to realising some value from this asset. Shareholders should refer to the announcements made by Cohiba with respect to their exploration plans in particular the Cohiba News Release entitled, “Amended ASX Announcement - CHK Accelerates Exploration” ASX: 29 November 2018.


Commenting on this, WSI director Bert Mondello noted:
“Although WestStar’s focus remains firmly on our construction, engineering and mining services businesses, it is satisfying that our board transacted astutely with these mining exploration assets in such a way that if value was realised in the future, our shareholders would have some upside. From that perspective, the announced results from BHP and their proximity to Olympic Domain’s tenement is a positive development.”