Spartan sells noncore gold projects to Benz Mining
Gold company Spartan Resources has reached an agreement to sell two noncore gold projects in Western Australia to fellow ASX-listed Benz Mining for A$15.6-million in cash and scrip.
“The Glenburgh and Egerton projects have undoubtedly suffered from a lack of attention within the Spartan Group in recent years as a result of the incredible success we have enjoyed at Dalgaranga,” said Spartan interim executive chairperson Simon Lawson.
He said Benz was a well-funded and -backed explorer that could provide a reinvigorated life to the assets.
“With a combined mineral resource estimate of 537 000 oz at 1.0 g/t gold, Glenburgh and Egerton are exciting growth assets with demonstrated potential for high-grade underground ounces – which is expected to be the focus of Benz’s exploration campaign,” said Lawson.
The consideration comprises A$1-million in cash and A$8.6-million of Benz CHESS depository instruments, as well as up to an additional A$6-million in contingent payments.
The transaction will be completed in December.
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