IRIS Metals (ASX:IR1) has opted to divest its Kookynie Gold Project to Nex Metals Explorations (ASX:NME) to allow the junior explorer to focus on its South Dakota, US-based lithium assets.
Kookynie sits about 60km southeast of Leonora and about 180km of the regional mining centre of Kalgoorlie.
IRIS Metals, which has a $63.95 million market capitalisation, says its Western Australian assets were the subject of a 2023 strategic review, which resulted in the company deciding to focus on its lithium assets in South Dakota.
Consideration for the acquisition comprises the issue of over 54 million new fully paid ordinary shares in Nex Metals Exploration, in addition to the granting of a 2% net smelter royalty.
As part of the transaction, Nex will assume all underlying prospector agreements held by IRIS on the tenements.
IRIS Metals is a hard rock lithium explorer primarily focused on exploration, development, and mining activities in South Dakota.
Write to Adam Drought at Mining.com.au
Images: IRIS Metals
