Native Mineral Resources Holdings Ltd (ASX:NMR) has acquired an asset package in Queensland which includes three advanced gold resources – Far Fanning, Great Britain and Granite Castle, with the former holding an inferred mineral resource estimate (MRE) of 2.3 million tonnes at 1.84 grams per tonne (g/t) of gold for 138,000 ounces.
NMR signed a binding agreement with Collins St Convertible Notes Pty Ltd to take on strategic assets in the state’s far north – specifically the highly prospective Ravenswood-Charters Towers region – as part of a deed of company arrangement approved by creditors.
The assets have been valued at a consideration of $18.9 million, with payment to be made over 33 months with a 2% perpetual royalty on gold production, allowing for a manageable cash flow profile without diluting shareholders through new scrip.
While the ‘aforementioned Far Fanning is considered the most top notch of the assets acquired, Great Britain and Granite Castle are also promising, with MREs of 1.54Mt at 2.2g/t gold for 109,000oz gold, and 0.76Mt at 3.14g/t gold for 77,000oz gold respectively.
The package also includes the Black Jack deposit which – like the others – is advanced and at a near-production stage of development, with the total assets comprising 17 granted Mining Leases, one Mineral Development License, six Exploration Permits, and the Black Jack
processing plant in Charters Towers.
The latter is currently on care and maintenance.
NMR shares moved upwards on the news, and at 10:56 AEDT, they were trading at 4 cents – a rise of 25% since the market opened.
Join the discussion: See what HotCopper users are saying about NMR and be part of the conversations that move the markets.