Search

Horizon wraps up gold project divestment

Perth-based Horizon Minerals has finalised its agreement with Kingswest Resources Limited to fully divest its interest in the Menzies and Goongarrie gold projects, located north of Kalgoorlie in Western Australia.

Horizon is set to receive a total consideration of AUD$8 million for Kingswest’s acquisition of its 38 mining, prospecting and exploration licenses.  

The Menzies gold project is set to be the focus of Kingswest’s exploration efforts in the short term. The project lies on granted mining leases and has historical production figures of 787,200 ounces grading at an eye-watering 18.9 g/t gold.

An existing JORC-compliant resource for the project totals 171,310 ounces grading at 2.2 g/t gold.

The divestment agreement will see Kingwest pay Horizon $3.375 million in cash and issue $4.625 million in Kingwest shares.

On completion of the transaction, Horizon will carry a substantial 20% holding of Kingswest’s issued capital.

The move now enables Horizon to focus on its Boorara project, that lies within staggering distance of the Kalgoorlie township, almost within sight of the Super Pit. The Boorara deposit has a resource of just over 500,000 ounces of gold.

Horizon is also now entitled to take up a non-executive Board role at Kingswest and with current Horizon MD Jon Price lined up for that position, Horizon’s strategy for Menzies and Goongarie should still be realized. Importantly however, Horizon will now have a few million more dollars to progress its aggregation strategy that involves several projects within shouting distance of Kalgoorlie Boulder where it is planning to locate a mill.

 

Is your ASX listed company doing something interesting ? Contact : matt.birney@businessnews.com.au

Add your comment

Share Price

Closing price for the last 90 trading days
Source: Morningstar

Total Shareholder Return as at 31/10/19

1 year TSR5 year TSR
300thXTD11%-36%
384thLion Energy0%-20%
481stHorizon Minerals-13%16%
580thAnova Metals-31%-23%
733rdProspect Resources-56%12%
730 WA (and selected non WA) listed companies ranked by 1 year TSR relative to other companies with similar revenue
Source: Morningstar

Share Transactions

22/08/19
$29k Sold
22/08/19
$0 Other
08/08/19
$17k Sold
Total value as at the date of the transaction
Source: Morningstar

Revenue

72nd↑Prospect Resources$3.2m
73rd↑XTD$3.1m
74th↓Horizon Minerals$3.0m
75th↑Lion Energy$2.9m
76th↑Anova Metals$2.8m
485 listed resources companies ranked by revenue.
Source: Morningstar

BNiQ Disclaimer