Cervantes Corporation Limited provided an update on activities related to the conditional purchase of the highly prospective Payne's Find Gold Project in Western Australia. The project is being acquired from European Lithium Ltd, which is disposing of non-core assets to concentrate on examining fast track routes for the development of its Lithium project in Austria. The proposed Payne's Find acquisition is in line with Cervantes' strategy of taking advantage of improving commodity prices, lower contractor costs and the availability of high-value, low cost mineral assets to accumulate a pipeline of advanced gold projects that may offer the potential for near term production. The Payne's Find Gold Project incorporates some 17 permits made up of 10 Prospecting Licences and 7 Mining Leases covering an area of some 700 Hectares, with an estimated 3 kilometre strike length. These permits represent the major portion of the historical Payne's Find Gold Field, discovered in 1911, which is located in the Mid-West Region of WA and only half a day's travel North East of Perth, and in close proximity to the Great Northern Highway. The regional geology comprises a thick series of Archaean-aged folded mafic volcanic rocks that are separated by large granitoid intrusions although outcrop is largely concealed by an extensive cover of alluvium and laterite. The rock types consist of interlayered, basaltic and dacitic, meta-volcanics, subordinate banded iron formations and ultramafic schists. These rocks host rich gold-bearing lodes that in the past have been extensively mined to depths in excess of 150 metres. The hornblende-biotite-quartz gneiss hosts most gold bearing quartz lodes and extends from the original "Blue Bell" lease in the north to the "Shamrock" lease in the south a distance of at least 3,000 metres. The foliation is very regular and has a strike direction of 330º to 360º (along the principal axis of the unit) and a dip of 60ºW to the vertical. Most of the significant quartz lodes have been intruded along joint shear systems striking between 360º to 010º and dipping 45ºW to vertical and therefore striking between sub- parallel to thelocal foliation. The foliation has also controlled the intrusive trend of later quartz-feldspar pegmatite veins which locally displace the quartz veins.