NewPeak Metals (ASX:NPM) has entered into a binding term sheet to sell 100% of its interest in its Finnish subsidiary companies, NewPeak Finland Oy and Kultatie Holding Oy, which hold the portfolio of gold permits in Finland.
Under the agreement with a Canadian unlisted private company run by corporate resource entrepreneur Emma Fairhurst (CANCO), NewPeak will receive $150,000 and C$500,000 in cash, and C$1 million in shares of the listed company.
NewPeak will also receive a milestone payment of C$1.5 million cash or shares on reporting a JORC indicated 500,000 ounce gold resource at any of the tenements.
This sale’s completion is subject to CANCO being satisfied with the results of their due diligence, obtaining all relevant authorisations and third-party approvals and consent to the transaction, as well as any necessary shareholder approval.
Further, the remaining arrangements include entry into the transaction documents satisfactory to each party and obtaining written consent from Sunstone Metals (ASX:STM) regarding the transaction including execution of a Deed of Assumption by CANCO.
This sale follows the company’s recent sale of its Otago gold permits, as Mining.com.au previously reported, and forms a part of NewPeak’s strategic rejuvenation plans.
NewPeak announced on 8 January 2024, that it is embarking on a ‘holistic rejuvenation’ plan by trading out of some of its current mineral assets, securing new mineral exploration opportunities, and freshening its board and management team.
NewPeak Metals is a diversified junior mineral explorer focused on exploring for minerals in Argentina, New Zealand, and Finland.
Write to Aaliyah Rogan at Mining.com.au
Images: NewPeak Metals
