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- Capricorn Metals (CMM) successfully acquires 100 per cent of the Mt Gibson Gold Project from Crimson Metals
- Total cash consideration amounted to $39.6 million which consisted of both cash payments and the issue of shares
- Mt Gibson lies in Western Australia and the acquisition forms part of CMM’s strategy to grow into an Australian-focused multi-mine gold company
- Capricorn is now set to undertake infill and extensional drilling, geotechnical and metallurgical testing, and geochemical and rock chip sampling
- Shares in Capricorn are up a healthy 13.1 per cent on the market and are trading at $2.08 at 12:47 pm AEST
Capricorn Metals (CMM) has successfully acquired 100 per cent of the Mt Gibson Gold Project from Crimson Metals.
The total consideration amounted to $39.6 million which consisted of $25.6 million in cash payments and $14 million through the issue of 7.65 million fully paid ordinary shares.
This acquisition forms part of Capricorn’s strategy to grow into an Australian-focused multi-mine gold company.
Executive Chairman Mark Clark is pleased to have acquired the project and is looking forward to undertaking drilling programs.
“The purchase of the Mt Gibson Gold Project is an outstanding opportunity for Capricorn to grow beyond the now operational Karlawinda Project,” Mr Clark commented.
“We look forward to undertaking an extensive drilling program to infill and significantly extend the shallow drilling depths to allow an update to the current 2.1-million-ounce resource.”
The Mt Gibson Project lies approximately 280 kilometres northeast of Perth in the Murchison district of Western Australia.
Capricorn has already completed a JORC 2012 compliant inferred mineral resource estimate of 79.7 million tonnes at 0.8 grams of gold per tonne (g/t) for 2,083,000 ounces of gold.
The company is now set to undertake extensive infill and extensional drilling, geotechnical and metallurgical testing, and geochemical and rock chip sampling.
Shares in Capricorn were up a healthy 13.1 per cent on the market and were trading at $2.08 at 12:47 pm AEST.
