Askari Metals (ASX:AS2) has entered into a binding sale agreement with privately held Muccanabout to sell its Callawa Copper Project in Western Australia.
Under the agreement, Muccanabout will make an initial cash payment of $55,000, within five business days from execution. The company will make a further $70,000 cash payment, which is to be paid within six months from executing the agreement.
Following receipt of the second tranche cash consideration, the Callawa Project will be transferred to Muccanabout.
Managing Director Gino D’Anna says executing this agreement aligns with the company’s mandate to streamline the operations of the company, which is focused on uranium and lithium exploration in Tanzania and Namibia.
“The company continues to evaluate other opportunities to monetise its Australian-based exploration projects portfolio which will provide long-term capital savings to the company and enhance operational transparency,” D’Anna says.
“In line with this, the company has also implemented a number of cash preservation initiatives.”
The Callawa Project lies 90km northeast of Marble Bar in the east Pilbara region of Western Australia.
Askari Metals is a South African-focused explorer that actively explores and develops its Uis Lithium Project in Namibia.
Write to Aaliyah Rogan at Mining.com.au
Images: Askari Metals
