- Riversgold (RGL) has sold its Alaskan assets for US$1.5 million (roughly A$2 million) to Mamba Minerals
- Last year, the parties signed cash and earn-in agreement for Riversgold’s gold exploration portfolio in southwest Alaska
- However, now the companies have signed a share sale deed for the sale of the assets, collectively held under the company Afanex, to Mamba
- Funds from the sale will be used for current exploration activities at the Kurnalpi Project
- On market close for the day, Riversgold is down 1.92 per cent and is trading at 5.1 cents per share
Riversgold (RGL) has sold its Alaskan assets for US$1.5 million (nearly A$2 million) to Mamba Minerals.
Last year, the parties signed a cash and earn-in agreement for Riversgold’s gold exploration portfolio in southwest Alaska. However, now the companies have signed a share sale deed for the sale of Afanex, collectively held under the company Afanex, to Mamba.
Following the negotiation, Mamba has raised the capital needed to complete the transaction. The first US$60,000 (A$79,000) payment was received on April 12.
Executive Director Xaiver Braud says this is a great outcome for Riversgold.
“We managed to monetise non-core assets whilst retaining an exposure to any discovery in Alaska via a gross royalty and milestone payments for resources discovered,” he said.
“The revised terms delivers Riversgold more funds over the next two quarters. This cash injection will be used to fund the current exploration activities at the Kurnalpi Project,” he added.
Kurnalpi is located near mining town Kalgoorlie and includes ten exploration licences and one application.
Riversgold is currently drilling diamond core under Lake Yindarlgooda.
“We are currently drilling diamond core under Lake Yindarlgooda. We are in the final preparation stages of another 3D seismic survey and we are just about to kick off an ambitious surface geochemistry program combined with a full scale use of DetectOreTM in-field low level gold analysis technique following up on our 2020 soil results,” Xaiver said.
“The funds received from the sale of Alaska will be put to good use exploring our 1200 square kilometres of greenstone belt outside Kalgoorlie and we are looking forward to updating the market on progress made,” he concluded.
On market close for the day, Riversgold is down 1.92 per cent and is trading at 5.1 cents per share.