Rincon Resources (ASX:RCR) is divesting its Laverton-based assets in the Eastern Goldfields of Western Australia to Galleon Metals for $500,000 in shares.
The company entered a binding agreement for the sale of the assets, as management redirects focus to exploration at the Telfer South Gold-Copper Project in the Paterson region and the Crackerbox assets in Murchison.
Galleon will issue shares for the acquisition upon its initial public offering, which is expected to take place later this year.
Rincon Technical Director Michael Griffiths says Telfer South and Crackerbox are both “exceptional” assets that have become a priority of exploration for the company.
“Our agreement with Galleon Metals to sell our Laverton Project in exchange for Galleon shares, ensures we remain involved with these key assets going forward,” Griffiths says.
The Laverton Project is located 4km west of the Laverton township, comprising two exploration licences and three applications for 41km2.
Meanwhile, Rincon intends to sell or orchestrate a joint venture agreement for its West Arunta assets, with the data room to be available for interested parties in the coming weeks.
“West Arunta is considered to have excellent copper potential,” Griffiths adds.
The West Arunta Project is located in Western Australia and is considered prospective for iron oxide copper-gold and niobium-rare earth elements deposits. Rincon says the area has historically been underexplored.
Rincon Resources is an Australian explorer focused on advancing gold, copper, and critical mineral assets in Western Australia.
Write to Maddison Elliott at Mining.com.au
Images: Rincon Resources
