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Gibb River Diamonds (ASX:GIB) sells gold royalties to Vox Royalty

Mining
ASX:GIB      MCAP $6.345M
24 February 2021 02:00 (AEST)

Gibb River Diamonds (GIB) has sold three legacy gold royalties to Vox Royalty for $325,000.

The royalty portfolio that was sold includes a one-per-cent net smelter royalty from the Bulgera Gold Project, Comet Gold Project and Mount Monger Gold Project.

However, the transaction is subject to third party consents, unless waived by Gibb River or Vox, to ease the sale and purchase of the royalties. It is anticipated the purchase will be completed in a timely manner.

Gibb will use the funds from the sale for the upcoming drilling at the Edjudina Gold Project, located in the Eastern Goldfields of WA.

The company is planning a reverse circulation drilling program at the project, which is scheduled to commence on March 1.

The drilling will help further define and expand the mineralised zone at the Neta Lodes discovery.

Notably, the Neta lodes discovery is the most significant mineralisation identified by the company to date, within the 13-kilometre long goldfield.

Last December, the company doubled the mineralisation strike length at Neta Lodes.

Under the November drilling program, 150 holes, for 6162 metres, were drilled. None of the holes reached deeper than 68 metres from the surface, meaning mineralisation remains fully open at depth.

On market close for the day, Gibb is up 3.90 per cent and is trading at 8 cents per share.

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