Resources & Energy Group Ltd. (REZ) has signed a joint venture agreement with Rembrandt Mining Pty Ltd. to fast-track mining and processing at the Maranoa Gold Deposit in Western Australia’s Northern Goldfields.
Under the agreement, Rembrandt will fully fund 100 per cent of the capital expenditure required to bring the Maranoa deposit, located within REZ’s flagship East Menzies Gold Project, into production.
The capital commitment includes all grade control drilling, mining, processing infrastructure, and site rehabilitation costs.
A key feature of the partnership is a sliding-scale profit-sharing structure designed to give REZ increasing upside leverage as gold prices rise.
The profit split starts at 50/50 at a gold price of AU$3,000 per ounce, stepping up to 60/40 in REZ’s favour if the gold price reaches AU$7,000 per ounce or higher.
Operating expenses will be recovered on an open-book, cost-plus-zero markup basis before profits are distributed.
To streamline processing, the partners have elected to deploy a mobile modular mill to the nearby Granny Venn processing site. The move sets the stage for REZ to establish the first operational gold mill adjacent to the historic town of Menzies.
Rembrandt intends to implement a selective, low-dilution mining methodology at Maranoa, focused on maximising recovered gold ounces rather than bulk material movement.
REZ Group Managing Director J. Daniel Moore noted that gold production at East Menzies is now imminent.
“An RC Rig has been deployed to Maranoa over the weekend to start grade control drilling,” Moore said.
“Because of the Rembrandt team’s experience in building and operating mills, we’ve decided to work on processing ore on site using a mobile modular mill.
“This is another step forward to REZ building the first Gold Mill adjacent to the historic gold mining town of Menzies.”
Rembrandt Managing Director Adrian Hall confirmed an initial 1,500-metre grade control program is under way to refine the geological model ahead of selective, low-dilution mining.
The zero-capital arrangement allows REZ to preserve its cash and balance sheet focus on defining larger-scale exploration targets across its broader East Menzies portfolio, including the Goodenough, Gigante Grande, and Granny Venn deposits.
