Marmota Ltd will soon take ownership of Tyranna Resources Jumbuck Gold project following ministerial approval of the transaction.
The Jumbuck project, located in north-western South Australia, consists of more than 8,000 square kilometres of territory surrounding the one million-ounce producing Challenger Gold Mine.
Under the terms of the agreement, Marmota has agreed to immediately release $200,000 of funds already held in trust to Tyranna, with the balance of $2.2 million held cash, plus $500,000 MEU shares, to be released upon the expected completion of the sale later this month.
The news comes just a day after the company announced it was moving rapidly toward production following successful drilling at the highly prospective Aurora Tank gold project in SA.
“We are very pleased that this critical hurdle has been achieved and look forward to the imminent settlement of the transaction.
“More detail about the tenement package and the Jumbuck gold project will be provided post-completion.
MEU’s Australian Stock Exchange-listed shares were trading at 4.4c today (10:13 am GMT+ 8 hours).