Canterbury Resources (ASX:CBY) has signed a binding term sheet to acquire privately held Molcopnick, which owns the Jack Shay Project in central Queensland.
The project is considered prospective for multiple styles of mineralisation and the vendors have generated two undrilled targets — Nerangy and Red Hill — prospective for copper-nickel-cobalt-platinum and copper-molybdenum mineralisation.
As part of the agreement, Canterbury will issue 5 million shares at $0.228 per share, as well as 5 million free attaching options exercisable at $0.05, expiring on 31 December 2026.
The company has due diligence and the approvals process, with the transaction expected to be completed by 30 May 2025.
In conjunction, the vendors have applied for an additional 5 million shares via a private placement at $0.025 per share, raising $125,000. Each new share has an attaching option under the same issue price and expiry as the transaction price.
The funds will be used to support exploration at the Jack Shay Project.
Managing Director Grant Craighead says the project is an “exciting” acquisition for the company.
“Histoical exploration has identified opportunities to discover significant mineralisation systems, but the key prospects have never been drilled,” Craighead says.
“The acquisition complements our exploration portfolio in central Queensland which includes the Briggs copper-molybdenum project where we are achieving pleasing progress in a Scoping Study that is on track for release in mid-2025.”
Once the transaction is completed and access arrangements have been established, the company will conduct surface sampling and mapping to better understand the surface geology and geochemistry.
This work may include RAB-type drilling in extensive areas of colluvial and alluvial cover. Upon completion, drill testing will be carried out on selected targets.
Canterbury Resources is a mineral explorer focused on generating and discovering potential tier one copper-gold projects in the southwest Pacific.
Write to Aaliyah Rogan at Mining.com.au
Images: Canterbury Resources
