Sibanye-Stillwater has announced that the transaction with Regulus Resources and the newly formed subsidiary of Regulus, Aldebaran Resources to unlock value at its Altar copper-gold project, has been concluded.
The company refers shareholders to the announcements made about this strategic partnership on 29 June 2018 and 25 September 2018.
Sibanye-Stillwater benefits from upfront proceeds (US$15 million) while retaining a direct interest in the Altar project of either 40% or 20% (should Aldebaran exercise its additional earn in option) as well as an indirect exposure through its 19.9% shareholding in Aldebaran.
Sibanye-Stillwater will also gain indirect exposure to the Argentine exploration assets that Aldebaran will be acquiring from Regulus as part of the Arrangement, including the Rio Grande and Aguas Calientes projects, amongst others.
The transaction is effective as at 25 October 2018. Aldebaran has issued an aggregate of 15,449,555 Aldebaran shares to Sibanye-Stillwater, representing 19.9% of the current 77,635,957 issued and outstanding Aldebaran Shares, and made an upfront cash payment of US$15 million to Sibanye-Stillwater, all in accordance with the JV Agreement. The Aldebaran Shares are expected to begin trading on the TSX Venture Exchange under the ticker symbol “ALDE” in approximately 5 business days.
Sibanye-Stillwater CEO, Neal Froneman commented: “We are excited about this strategic partnership which unlocks immediate value for this greenfields exploration project, while enabling the experienced Aldebaran team to explore the upside potential of the Altar project by providing it with the focus they bring.”
Source: Company Press Release