- Pantoro (ASX:PNR) enters an agreement with Mineral Resources (ASX:MIN) to divest 100 per cent of its lithium, nickel, copper, and cobalt rights at the Norseman gold project in WA
- This deal is valued at up to $60 million
- Pantoro will also receive a two per cent net smelter royalty on all nickel, copper, and cobalt recovered, along with a 0.75 per cent FOB lithium royalty
- PNR is up 20.5 per cent, trading at 4.7 cents at 3:47 pm AEDT
Pantoro (ASX:PNR) has entered into a binding agreement with Mineral Resources (ASX:MIN) to divest 100 per cent of its lithium, nickel, copper, and cobalt rights at the Norseman gold project in Westen Australia.
This deal is valued at up to $60 million, including a $30 million upfront cash payment, payable within five days of executing the binding term sheet.
In addition, there is a deferred payment of $30 million, payable upon the final investment decision to commence a nickel, copper, and/or cobalt mining operation.
Pantoro will also receive a two per cent net smelter royalty on all nickel, copper, and cobalt recovered, along with a 0.75 per cent FOB lithium royalty.
Both royalties are payable upon meeting specific Mineral Resource thresholds.
Pantoro retains ownership of the tenure and holds all rights to precious and other base metal and battery minerals over the entire tenement package.
“This transaction provides Pantoro with strong immediate value for minerals which have not yet been identified in economic quantities at Norseman,” PNR Managing Director Paul Cmrlec said.
PNR was up 20.5 per cent, trading at 4.7 cents at 3:47 pm AEDT.