Newcrest Mining Limited
(ASX:NCM) will fund an exploration and resource company, Encounter Resources Limited
(ASX:ENR) with up to $500,000 over the next 12 months, to generate opportunities in Western Australia.
It comes as the gold miner entered into a project generation alliance, with Encounter to identify new camp scale exploration and future production opportunities in Northern WA.
The companies will enter into a 50:50 joint venture (with the company) over any projects approved for further exploration.
Newcrest also has the ability to increase its interest to 80 per cent, should Encounter Resources not elect to contribute on a 50:50 basis to the project.
Shares in Newcrest Mining Limited
(ASX:NCM) last traded over 0. 3 per cent lower yesterday to $19.47.
