Ramelius makes strategic investment in Spartan
ASX-listed Ramelius Resources has bought 8.5-million shares in fellow-listed Spartan Resources as a strategic investment, representing about 8.9% of Spartan’s ordinary shares on issue.
Spartan’s Dalgaranga gold project is about 86 km north-west of Mount Magnet in the Murchison region of Western Australia. Ramelius continually evaluates gold assets in Western Australia and makes investments in the sector where it believes there is a strategic rationale.
“Ramelius has an enviable portfolio of multi-stage operations and a development project that is underpinned by the long-life, low-cost Mt Magnet operation. We also have extensive greenfield exploration opportunities and our investment into Spartan Resources provides us with a strategic addition to the portfolio,” commented Ramelius MD Mark Zeptner.
Following the purchase of Spartan shares, Ramelius has A$446-million in cash and gold and its operations are forecast to continue generating free cash flow over the medium term.
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