Alchemy is partnering with Newcam to promote Bryah iron ore projects

The Australian company Alchemy Resources Limited has announced that it has entered into a binding option agreement with local mining company Newcam Minerals Pty Ltd., under which Newcam can earn up to a 60 percent stake in Alchemy's iron ore mining assets in the Bryah basin in Western Australia, while Alchemy retains a 40 percent interest-free right on the mining decision.

Key terms of the agreement

• Newcam will pay an initial amount of A$500,000 for a six-month due diligence option, followed by another A$500,000 for the exercise of the option.
• The agreement covers the promising iron ore deposits of Alchemy's Valley Bore and Old Highway.
• After the option is implemented, Newcam will become the operator of the joint venture and will carry out a feasibility study of the project, which should be completed within five years.

Strategic implications and next steps

James Wilson, CEO of Alchemy, noted that the agreement is a "transformative opportunity" for the company, providing immediate funds, increasing the value of iron ore and consistent with the company's growth strategy. The first drilling program at Valley Bore Avenue is scheduled to be completed in the December quarter of 2025, signaling an acceleration of activity ahead.