Impact Minerals (ASX:IPT) is acquiring New Frontier Minerals’ (ASX:NFM) wholly owned subsidiary BHA No. 1, which holds the Broken Hill East Project in New South Wales.
Under the agreement, Impact will issue $275,000 worth of shares to New Frontier based on the 14-day volume weighted average price of $0.0073 as of 7 March 2025.
Impact, which has a market capitalisation of $21.42 million, will also assume responsibility for a 2% net smelter return royalty payable with respect to the tenements.
The transaction is expected to be completed today (10 March).
Impact’s ground now extends over 1,770km2 and covers an area considered prospective for large copper deposits following a novel exploration model that formed the basis of its participation in the inaugural BHP Xplor Program in 2023.
The company intends to use some funds from the previously reported renounceable rights issue will be directed towards developing some of Broken Hill East’s copper targets for drilling.
New Frontier Chairman Ged Hall says this is the third non-core asset the company has sold in the past 18 months, which leaves the divestment of the Mkushi Copper Project in Zambia as the final target.
“Staying the course with our strategy to be patient and find the right development partner for the non-core asset portfolio has paid dividends again,” Hall says.
“Pleasingly, the value generated by these non-core asset sales is being redeployed, as it materialises, to progress development work on our core Harts Range and NWQ Copper projects.”
New Frontier notes it is optimistic, with ongoing consolidation across the global copper sector, a development partner will be found for the Mkushi Project.
The Mkushi Project ringfences an operating copper mine, with induced polarisation surveys highlighting multiple zones of chargeability coincident with known copper soil anomalies, which are potential targets for disseminated copper sulphide mineralisation.
Impact Minerals is focused on becoming a key player in the high-purity alumina industry. The company’s Lake Hope HPA Project in Western Australia was acquired to produce 99.99% 4N HPA — a technology sector material on Australia’s critical mineral list.
Write to Aaliyah Rogan at Mining.com.au
Images: Impact Minerals
