Minmet, the Dublin mining and exploration company, has agreed a strategic alliance with a subsidiary of Gold Fields Ltd, one of the the world's largest gold producers, to search for gold in the western Dominican Republic.
Minmet believes the region is likely to yield high quantities of gold-silver deposits.
The site lies west of Pueblo Viejo mine, currently the subject of a €8.4 million feasibility study by Place Dome.
The project will be an unincorporated joint venture, with initial deemed equity of 50 per cent. Concessions and other property interests acquired in the area will be held for the exclusive benefit of the parties.
Gold Fields will provide €211,000 for an initial six-month exploration programme.
Final approval of the agreement is subject to the approval of the Gold Fields executive committee.
"We are very pleased that a company of Gold Fields' standing is prepared to support generative exploration proposals put forward by Minmet's technical team," according to Minmet's chief executive, Mr Michael Nolan.
"Gold Fields is the world's largest unhedged gold producer and its commitment to fund the initial work programme...is a great endorsement of us.
"We are aiming to identify targets in the under-explored but highly prospective western Dominican Republic," Mr Nolan said.
