- PepinNini Minerals (PNN) has entered into an agreement to purchase all of the shares in Hillside Minerals
- PNN first set its eyes on Hillside back in December, after the latter company applied for a number of tenements in South Australia
- These tenements include two exploration licence applications covering 1129 square kilometres, where occurrences of kaolin clay have been recorded
- The purchase will be issued in shares and options to three Hillside vendors
- Once the payments are complete, a joint venture between PNN and the vendors will be created to explore the new tenements
- On the market, PNN is up one per cent and is trading at 50.5 cents per share
PepinNini Minerals (PNN) has entered into an agreement to purchase all of the shares in Hillside Minerals.
PNN first set its eyes on Hillside back in December, after the latter company applied for a number of tenements in South Australia.
These tenements include two exploration licence applications covering 1129 square kilometres on the Eyre Peninsula. Notably, the land has recorded occurrences of the industrial material kaolin clay.
The purchase will be issued in shares and options to three Hillside vendors.
The transaction will be completed in two stages. Stage one includes shareholder approval and will see 1.75 million PNN shares issued to Hillside vendors.
Stage two will be completed once Hillside has been successfully granted the South Australian tenements and will see 4.5 million shares and 1.2 million options issued to the vendors.
Once stage two is complete, a joint venture between PNN and the vendors will be created to explore the tenements.
PNN will own an 80 per cent stake in the new joint venture and operate the site, and the remaining 20 per cent will go to a new entity formed by the vendors.
On the market, PNN is up one per cent and is trading at 50.5 cents per share at 11:15 am AEDT.