Australian Mines Limited (AUZ) has agreed to a binding Sale and Purchase Agreement for the sale of the Company’s Blair Nickel/Golden Ridge Project to Pioneer Resources Limited (PIO) for a cash consideration of $700,000. In addition the sale includes the replacement by Pioneer of performance bonds of $207,000. Pioneer is an ASX-listed specialist exploration company with a strategically located tenement portfolio, located within 200km of Kalgoorlie-Boulder, Western Australia. The Agreement is the result of a strategic review of the Company’s Australian projects, aimed at maximising the value of the assets for Australian Mines’ shareholders. Its completion will enable the Company to wholly focus its growth on its Nigerian assets, in particular the key Yargarma and Kasele projects. The sale does not include the Marriott’s nickel project near Leinster Western Australia, which is the company’s only remaining Australian Asset.
“The Agreement is a key step for Australian Mines as it enables us to further our focus on building a stronger business in West Africa, in particular Nigeria, where excellent progress at our extensive tenement portfolio is being made. This Agreement comes at an apt time for Australian Mines, given that in the current global environment many companies are struggling to raise capital to further progress their projects. To be able to successfully divest one project to further develop another is a great outcome for Australian Mines.
Australian Mines (AUZ) is an Australian-listed resource company targeting gold and base metals. Australian Mines’ key asset is its extensive 100%-owned tenement holding in Nigeria’s northwest gold province that contain similar geology to the better known gold producing countries of Ghana, Cote d’ivoire and Burkina Faso – where a combination of advanced exploration and development programs is leading to rapidly expanding output.