Alliance Resources and its subsidiary Alliance Craton Explorer (ACE) have entered into an agreement with Tyranna Resources Ltd and subsidiary Trafford Resources Pty Ltd (Trafford) to acquire 100% of Wilcherry project.
ACE will acquire the following:
- Trafford’s remaining interest (approximately 18.59%) in the Wilcherry Project (Project), and
- An 80 person camp on leasehold land located in the township of Kimba, South Australia for a total consideration of $1.5 million cash, payable to Trafford as follows:
- Payment of an Initial Deposit of $350,000 within 2 business days of execution;
- Payment of the Second Deposit of $400,000 on or before 30 days after payment of the Initial Deposit;
- Payment of $750,000 on Completion, which is governed by conditions precedent, including statutory consents.
The agreement provides Alliance with 100% ownership of the Project, which includes the high-grade Weednanna Gold Deposit where a mining and processing scoping study is in progress.
It also eliminates the administrative burden and costs associated with the joint venture and will streamline the future statutory approvals required at the time a Mining Lease Proposal is submitted in respect of the Weednanna gold deposit.
Source: Company Press Release