A binding sale and purchase agreement has been agreed between Hastings Technology Metals and Metal Bank for the acquisition of Hastings’ gold assets across Western Australia.
Under the proposals, at a cost of around $2.3 million in shares, Metal Bank will acquire the Whiteheads gold project, located 80km northeast of Kalgoorlie, Ark gold tenements located 250km northeast of Carnarvon, and Darcy’s gold tenements located in the East Kimberley region.
Hastings is said to be continuing to progress the Whiteheads project with drilling underway for an initial resource estimate at its Seven Leaders prospect – which will then see a mining lease application and submission of a mining proposal undertaken.
Under the terms of the agreement with Metal Bank, Hastings will manage and execute the initial drill program to define a maiden JORC-compliant mineral resource estimate to satisfy a “key milestone” within the transaction’s framework to establish the project’s value.
“Since our announcement of this proposed transaction on 10 September, we have been able to finalise the agreement of the sale of Hastings gold assets to Metal Bank in a short space of time. It underscores the shared vision and spirit of cooperation between Hastings and Metal Bank’s executive team to create a gold focussed company that will benefit our respective shareholders,” Hastings executive chairman Charles Lew said.
“This is a transformational step for Hastings as it continues to focus on developing its rare earth and niobium assets at Yangibana and Brockman. With its gold divestment, our shareholders will benefit from an in-specie distribution of Metal Bank shares which we will bring to shareholders for approval at our upcoming AGM in mid-November.”
A number of projects are underway – expected to be completed in the next 12 months – between the two parties, including at the Whiteheads project.
The Livingstone gold project in the Murchison region, for example, is expected to have a scoping study prepared for the Homestead and Kingsley projects as well as applications prepared for mining licences.
