Several resources companies listed on the Australian Securities Exchange (ASX) are engaging in acquisition activity this week, including Tivan (ASX:TVN), which entered a binding term sheet with Beacon Minerals for its Baucau and Ossu projects in Timor-Leste in Asia.
The exploration licences extend for an area of 289km2 for a total consideration of $500,000, comprising $250,000 cash and $250,000 worth of Tivan shares, paid on settlement of the acquisition.
The acquisition will be settled on completion of due diligence and both parties gaining the necessary approvals. These conditions must be satisfied within 75 days from the signing of the binding term sheet.
Tivan intends to streamline activities at the projects with a systematic field validation program, which will include mapping and surface sampling across areas of known mineralisation.
Executive Chairman Grant Wilson says the transaction is a greater reflection of Tivan’s relationships built in the first year of operations in Timor-Leste.
“Working in close collaboration with the Government of Timor-Leste, and in partnership with the local communities, Tivan now has a singular opportunity to upscale the exploration for critical minerals and to lay the foundations for large-scale sustainable development in the decades ahead,” Wilson says.
Prospect steps aside
Prospect Resources (ASX:PSC) has executed a share sale and purchase agreement to divest its stake in the Step Aside Lithium Project in Zimbabwe with privately held Fatima Resources, for a total consideration of up to US$2.2 million ($3.4 million).
Fatima will acquire Prospect’s wholly owned subsidiary Promin, which holds a 90% stake in Step Aside, for an upfront payment of US$850,000 and a deferred payment of US$150,000, which will be paid upon completion of the transaction.
Fatima will pay a final payment of up to US$1.2 million after meeting development milestones within the first two years of holding the project.
Prospect CEO Sam Hosack says Step Aside displays an opportunity for Fatima to explore “classic spodumene bearing lithium mineralisation”.
“This system justifies further drill testing, which is planned by the buyer,” Hosack says.
“We believe the future stewardship of Step Aside is in good hands and look forward to seeing just how far the project can continue to grow, while we focus on the very exciting Mumbezhi Copper Project in Zambia.”
Winsome more land
Winsome Resources (ASX:WR1) has entered an option agreement with Bull Run Capital to acquire 38 mining claims comprising the Madina claim block, which adjoins with its Adina Lithium Project in Québec, Canada.
Winsome will pay C$125,000 in order to secure the 12-month option agreement, followed by another C$325,000 upon exercise of the agreement, either in cash, shares, or a combination.
The vendor will retain a 1% net smelter royalty on lithium products from the claims, which Winsome is eligible to buy back for C$1 million.
The company intends to accelerate activities across the new claims with mapping, sampling, and geophysical surveys next year.
Winsome Managing Director Chris Evans says the agreement will allow the company to consolidate the district where its Adina Project is located.
“The Madina claim block is ideally located both from a logistical and a geological perspective and complement our existing landholding,” Evans says.
“The low-cost option structure allows us to assess the ground through the coming field season with minimal upfront expenditure while retaining full upside potential.”
Write to Maddison Elliott at Mining.com.au
Images: Tivan, Prospect Resources & Winsome
