Xanadu Mines (ASX: XAM) is proceeding with the acquisition of a 90% interest in the Kharmagtai advanced porphyry copper-gold exploration project in Mongolia for US$14 million from Turquoise Hill Resources.

First phase diamond drilling is scheduled to begin in early June.

This follows the company’s shareholders approving the transaction at the Extraordinary General Meeting held Friday.

Previous exploration at Kharmagtai had identified significant shallow high-grade porphyry copper-gold mineralisation, including 245 metres at 0.75% copper and 2.48g/t gold from 3 metres.

Xanadu has estimated an Exploration Target of 200 million to 450 million tonnes at 0.25% to 0.3% copper and 0.25 grams per tonne to 0.3g/t gold.

Source: Proactive Investors