On Friday shares in junior resource company Talisman Mining surged 36% following some intriguing news from their JV partner Sandfire Resources. Talisman's Springfield Project holds the immediate strike extensions of the rock package hosting Sandfire's world-class DeGrussa Copper-Gold Project. The DeGrussa discovery back in 2009/10 took the 5c junior on its much-famed run to a high of nearly $9/share. Last year Sandfire and Talisman formed a joint venture to explore their adjoining tenements. Since then, it's been pretty quiet as the Sandfire geological team has evaluated the vast Talisman datasets. On Friday Talisman told investors that Sandfire had already completed the first phase of a high-powered geological survey. The results have prompted Sandfire to initiate a drill campaign testing a new conductor just 5kms from Degrussa. The pace of Sandfire's movements have caught the markets attention, suggesting the upcoming drill hole will be closely watched.
It will be really interesting to see what Sandfire comes up with in their drilling programs. The sniffs are already encouraging based on TLM's previous work and SFR's initial survey work. Having a motivated, cashed-up partner in the form of SFR is hugely important for TLM. Don't forget TLM also has cash reserves of $16m.