Global law firm Herbert Smith Freehills Kramer forecasts ongoing geopolitical tensions to continue driving mergers and acquisitions (M&A) agreements in the mining sector for the remainder of 2026.
The firm says international resources projects are likely to shape investment strategies and cross-border transactions, which will be affected by government engagement beyond the standard regulatory approvals.
Critical minerals are expected to remain a top priority in M&A deals this year, as many countries are trying to establish secure supply chains.
At the beginning of last week (16 March), Perseus Mining’s (ASX:PRU) wholly owned subsidiary entered a share purchase agreement with Hong Kong Matrix Golden Fortune Mining to sell its 70% group interest in the Meyas Sand Project (MSGP) in Sudan.
The sale has a cash consideration of US$260 million, including an initial US$10 million depository on the signing of the agreement and US$250 million payable on completion of the transaction.
The divestment is expected to be completed on 22 April 2026, which will strengthen Perseus’ balance sheet.
Hong Kong Matrix Golden Fortune Mining is a wholly owned subsidiary of Matrix Resources, which is considered the Matrix Group with its subsidiaries.
Perseus CEO Craig Jones says while it is selling its interest, the company believes Meyas Sand is still a “high quality gold project”.
“A strategic review of MSGP was undertaken as a result of the protracted armed conflict in Sudan and its impact on Perseus’s ability to progress the development at suitable scale,” Jones says.
“The sale represents an important step for Perseus in its portfolio optimisation and allows allocation of resources to core assets and its growth strategy.
“Matrix Group is a proven development partner with a vision for the MSGP that aligns with the development goals of Sudan.”
Perseus Mining is focused on rapidly growing Africa’s gold sector via exploration, development, and production activities.
Canadian Reward
Reward Minerals (ASX:RWD) has executed a binding letter of intent to acquire the Mountain Pond Gold Project, located in Newfoundland Island, Canada.
To date, the company has paid C$20,000 to the vendor, Christopher Pilgrim, for the execution of the letter of intent.
Reward will issue 150,000 shares to the vendor upon the execution of a definitive asset purchase agreement, followed by C$30,000 on the one-year anniversary and 200,000 shares within three business days from the payment.
The company will then pay C$75,000 cash on the second anniversary, along with the issuance of 500,000 shares within three days of payment.
Pilgrim will retain a 1% net smelter return royalty for the project, which Reward can buy back for C$1 million at any time.
CEO Lorry Hughes says the project hosts a “high‑priority, walk‑up drill target” at the Jackpot prospect, with potential for additional findings along the Sullivan Pond fault structure.
“It is remarkable that the project has not previously been drill tested for gold or base metals, despite the presence of high‑grade outcrop samples and anomalous soil and till results,” Hughes says.
“The property has predominantly been held by individual prospectors since 2009, with limited confirmation and regional exploration work undertaken by small exploration companies during 2010–2011, at a time when metal prices were materially lower than current levels.
“This acquisition strengthens our pipeline of quality drill targets for testing this year, and we believe the Mountain Pond Project has the potential to host a new high‑grade gold discovery.
“Excellent access and logistics further enhance the project by minimising future exploration costs compared to more remote parts of Canada.”
Reward Minerals is an explorer focused on developing potash, gold, and base metals in Newfoundland, Canada.
First in for Barlee
First Au (ASX:FAU) has executed a binding agreement with Regent Resources to acquire the Barlee Gold Project in Western Australia for $1 million in cash.
The company will pay $500,000 in cash on the completion of the acquisition, followed by the remaining $500,000 one year from acquiring the asset.
First Au will also issue $1.25 million in shares based on the 20-day volume weighted average price prior to completion, subject to shareholder approval.
The agreement sees First Au acquiring 100% of issued capital of Regent, which is the tenement holder.
Chairman Daniel Raihani says Barlee will expand First Au’s exploration footprint in the Western Australian Goldfields, allowing the company exposure to an “underexplored greenstone belt with demonstrated significant gold endowment”.
“Technological advancements in geophysics and drilling now allow exploration beneath transported cover and salt lake sediments that historically limited effective exploration,” Raihani says.
“Investors need only look towards the Kambalda region as an analogue which has yielded greater than 15 million ounces of gold, much of it from deposits located beneath Lake Lefroy.
“In the short-term, First Au intends to build on Regent’s exploration work and follow up anomalism identified in their drilling in 2021 with a view to discovering value below the lake sediments.”
First Au is focused on pursuing gold opportunities in Western Australia, with a focus on the wholly owned Gimlet Gold Project near Kalgoorlie.
Write to Maddison Elliott at Mining.com.au
Images: Perseus Mining
