Perth-based exploration firm OreCorp has announced a backdoor listing on the ASX through fellow explorer Silver Stone Resources.
Silver Stone announced today it had entered an agreement to acquire 100 per cent of OreCorp, which holds a suite of gold and base metals projects in Ethiopia and Mauritania.
OreCorp is chaired by geologist Craig Williams, president and chief executive of Equinox Minerals until it was acquired by Barrick Gold midway through last year for $7 billion.
Silver Stone said that it would change its name to OreCorp Limited following completion of the transaction.
Former Mantra Resources joint managing director, Matthew Yates, will join the OreCorp management team as chief executive and managing director.
The merged entity will have around $9 million in cash a no debt to pursue its exploration strategy.
Silver Stone shares have soared on the ASX today following the announcement, closing trade up 40 per cent at 17.5 cents.
The backdoor listing plan coincides with a small flurry of activity in the IPO sector, with three WA firms closing offers this week. (Details here).
