Paterson Resources Limited (ASX: PSL) has signed a binding share sale agreement (SSA) with Octo Mining Burraga Pty Ltd (Octo) for the sale of 100% of the issued capital of its wholly owned subsidiaries Burraga Copper Pty Ltd, BC Exploration Pty Ltd and Old Lloyds Mine Pty Ltd, which hold the following exploration licenses and land that form the Burraga Project in NSW:
- Exploration Licence No. 6463
- Exploration Licence No. 6874
- Exploration Licence No. 7975
- Exploration Licence No. 8826
- Exploration Licence No. 9135
- Lot 12 DP 241 638
The board commented: “The sale of the Burraga Project is a strategic milestone for Paterson Resources Limited. This transaction allows the company to focus on the highly prospective Grace Gold-Copper Project and provides the Company with funding to achieve the next phase of project advancement. With a strengthened financial position, the focus of the company is on the core asset and we are well positioned to unlock further value for Paterson Resources.”
The key terms of the SSA are as follows: Cash Consideration of A$2,850,000 with a deposit of A$200,000 payable within five business days of execution of the SSA and A$2,650,000 payable on settlement; 2. Settlement up to approximately 60 days from execution of the SSA subject to the satisfaction of the conditions precedent, which include: a. Octo completing legal and other relevant due diligence on the Burraga Project; and b. the company and Octo obtaining all necessary third-party, board, regulatory approvals, consents and waivers to allow the parties to lawfully complete the matters set out in the SSA.
The sale of the Burraga Project provides Paterson additional funds and will allow the company to focus resources on its flagship Grace Gold-Copper Project in the highly prospective Paterson Province.
To read more about this, please visit www.patersonresources.com.au
To read more news like this, please visit www.theassay.com/news
