West Perth-based minerals explorer Avoca Resources Ltd will acquire the Two Boys gold mine from FMR Investments Pty Ltd, formerly Barminco Investments Pty Ltd, for $271,250 in cash and scrip, the company has announced.
West Perth-based minerals explorer Avoca Resources Ltd will acquire the Two Boys gold mine from FMR Investments Pty Ltd, formerly Barminco Investments Pty Ltd, for $271,250 in cash and scrip, the company has announced.
West Perth-based minerals explorer Avoca Resources Ltd will acquire the Two Boys gold mine from FMR Investments Pty Ltd, formerly Barminco Investments Pty Ltd, for $271,250 in cash and scrip, the company has announced.
The full text of a company announcement is pasted below
Avoca Resources Limited (Avoca) is pleased to announce that it has reached agreement with FMR Investments Pty Ltd (FMR), formerly known as Barminco Investments Pty Ltd, to acquire 100% of FMR's Two Boys gold mine and surrounding lease, M15/231, located 1.5km south of Avoca's Trident gold deposit at Higginsville in Western Australia. In addition, FMR has agreed to withdraw from the Higginsville Exploration and Mining Joint Venture, wherein it retained certain rights to exploration and mining of underground gold from tenement M15/348, which surrounds M15/231. Avoca now controls 100% of the open pit and underground rights to M15/348.
The Two Boys gold mine produced 82,000 ounces at a grade of 14 g/t gold during an 18 month period beginning in early 1997. The Two Boys decline mined the high grade lode to a depth of 180m below the surface. Located 100m east of the bottom of the decline, and within M15/348, is a drill-defined Inferred Resource that Avoca has re-estimated at 81,176t @ 5.5 g/t gold for 14,216 ounces (above a 3.0 g/t gold cut off grade).
The Consideration to be paid to FMR is $271,250 which is to be satisfied through the issue of 125,000 shares at a deemed issue price of $2.17 each. Avoca will also replace the Department of Industry and Resources Performance Bond of $22,000.